Venus Company purchases 8,000 shares of Sundown Company for $64 per share. Just prior to the purchase, Sundown Company has the following balance sheet:

Venus Company believes that the inventory has a fair value of $400,000 and that the property plant and equipment is worth $500,000.
1. Prepare the value analysis schedule and the determination and distribution of excess schedule.
2. Prepare the elimination entries that would be made on a consolidated worksheet prepared on the date of acquisition.

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Assets Liabilities and Equity $250,000 ..50,000 Property, plant, and equipment (net) 400,000 Paid-in capital in excess of par. . 130,000 370,000 Cash Inventory $20,000 Current liabilities 280,000 Commn stock ($5 par) 100,000 Retained earnings $800,000 Total liabites and equity Goodwill $800,000o