Financial statements for Pam and Sun Corporations for 2016 are summarized as follows (in thousands):

Pam owns 90,000 shares of Sun's outstanding voting common stock at December 31, 2016.
These shares were acquired in two lots as follows:

The stockholders' equity of Sun at year-end 2014, 2015, and 2016 was as follows (in thousands):

Sun's net income for 2016 is $90,000, earned proportionately throughout the year, and its quarterly dividends of $12,500 are declared on March 15, June 15, September 15, and December 15. (Quarterly dividends of $12,500 include dividends on common stock and preferred stock.) There are no intercompany receivables or payables at December 31, 2016, and there have been no intercompany transactions other than dividends.
REQUIRED:
Prepare a consolidation workpaper for Pam and Subsidiary for 2016.

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Pam Sun Combined Income and Retained Earnings Statements for the Year Ended December 31 Sales Income from Sun Cost of sales Other expenses $1,233 68 $700 610) 400) (390) (210) 30190 200 (50) $240 Net income Add: Retained earnings January 1 Less: Dividends 501 (200) S 602 Retained earnings December 31 Pam Sun Balance Sheet at December 31 Cash Other current assets Plant assets-net Investment in Sun $ 191 200 900 S 50 300 600 Total assets $2,002 $950 Current liabilities $10 preferred stock Common stock Other paid-in capital Retained earnings $ 200 S 60 100 500 50 240 $950 1,200 602 $2,002 Total equities Date January 1, 2015 Apri 1, 2016 Shares 70,000 20,000 Purchase Price $490,000 152,000 Lot 1 Lot 2 December 31 2015 $100 500 200 2014 2016 $10 preferred stock, $100 par, cumulative $100 $100 with no dividends in arrears Common stock, $5 par Other paid-in capital Retained earnings 500 50 150 $800 500 50 240 $890 50 Total stockholders' equity $850