100% cost method worksheet, several adjustments, third year. Refer to the preceding information for Paulcraft's acquisition of Switzer's common stock. Assume that Paulcraft pays $480.000 for 100% of Switzer common stock. Paulcraft uses the cost method to account for its investment is Switzer. Paulcraft and Switzer have the following trial balances on December 31, 2013 as shown on page 191.

1. Prepare a value analysis and a determination and distribution of excess schedule for the investment is Switzer.
2. Complete a consolidated worksheet for Paulcraft Corporation and its subsidiary Switzer Corporation as of December 31, 2013. Prepare supporting amortization and income distribution schedules.

Paulcraft Switzer 100,000 90,000 Cash 110,000 55,000 86,000 Accounts Receivable Inventory Land. 120,000 100,000 480,000 800,000 60,000 Investment in Switzer . Buildings . Accumulated Depreciation Equipment ... Accumulated Depreciation Current Liabilities. .. Bonds Payable.. 250,000 (80,000) 100,000 (72,000) (102,000) (100,000) (10,000) (90,000) (182,000) (350,000) 210,000 15,000 (220,000) 150,000 (90,000) (60,000) Common Stock (100,000) (900,000) (315,000) (800,000) 450,000 30,000 Paid-In Capital in Excess of Par . Retained Earnings, January 1, 2013. Sales Cost of Goods Sold .. Depreciation Expense Buildings. Depreciation Expense Equipment. Other Expenses.. Interest Expense.. 15,000 140,000 14,000 68,000 8,000 Dividend Income . (10,000) Dividends Declared.. 20,000 10,000 Totals .