Paper Company acquired 80 percent of Scissor Company's outstanding common stock for $296,000 on January 1, 20X8, when the book value of Scissor's net assets was equal to $370,000. Paper uses the equity method to account for investments. Trial balance data for Paper and Scissor as of December 31, 20X8, are as follows:

Required
a. Prepare any equity method entry(ies) related to the investment in Scissor Company during 20X8.
b. Prepare a consolidation worksheet for 20X8 in goodform.

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Paper Company Scissor Company Credit Credit Accounts Receivable Investment in Scissor Stock Buildings & Equipment Cost of Goods Sold 2 0 Selling & Administrative Expense Bonds Payable Common Stock 3 Retained Earnings Income from Scissor 2 2,671,400 2 843,000