Financial statements for Pop Corporation and its 75 percent-owned subsidiary, Son Corporation, for 2017 are summarized as follows (in thousands):

Pop Corporation acquired its interest in Son at book value during 2014, when the fair values of
Son's assets and liabilities were equal to recorded book values.
ADDITIONAL INFORMATION
1. Pop uses the equity method for its investment in Son.
2. Intercompany sales of merchandise between the two affiliates totaled $100,000 during 2017. All intercompany balances have been paid except for $20,000 in transit from Son to Pop at December 31, 2017.
3. Unrealized profits in Son's inventories of merchandise acquired from Pop were $24,000 at December 31, 2016, and $30,000 at December 31, 2017.
4. Son sold equipment with a six-year remaining useful life to Pop on January 2, 2015, at a gain of $48,000. The equipment is still in use by Pop.
5. Pop sold a plant to Son on July 1, 2017. The land was sold at a gain of $20,000 and the building, which had a remaining useful life of 10 years, at a gain of $40,000.
6. Son purchased $200,000 par of Pop's 10 percent bonds in the open market for $188,000 plus $10,000 accrued interest on December 31, 2017. Interest is paid semiannually on January 1 and July 1, and the bonds mature on January 1, 2022.
REQUIRED:
Prepare a consolidation workpaper for Pop Corporation and Subsidiary for the year ended December 31, 2017.

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0 Son Combined Income and Retained Earnings Statement for the Year Ended December 31, 2017 Sales Gain on plant Income from Son Cost of goods sold Depreciation expense Interest expense Other expenses $1,260 60 104 (700) (152) $1,000 (600) (80) (40) (120) 200 200 (160) S 240 (92) Net income Add: Beginning retained earnings Deduct: Dividends 300 (320) 420 Retained earnings December 31 Balance Sheet at December 31, 2017 Cash Bond interest receivable Other receivables-net Inventories Land Buildings-net Equipment-net Investment in Son Investment in Pop bonds $ 54 S 162 80 160 180 300 280 686 60 100 140 360 180 188 $1,200 $ 160 Total assets Accounts payable Bond interest pavable 10% bonds payable Common stock Retained earnings $1,740 20 400 800 420 $1.740 800 240 $1.200 Total equities