In a cash transaction, Geis Company purchased 70 percent of the outstanding stock of Vogel Company for $593,600 cash on June 30, 20xx. Immediately after the acquisition, the separate balance sheets of the companies appeared as shown below.

Liabilities and Stockholders' Equity

Additional information: (a) Vogel Company's other assets represent a longterm investment in Geis Company's long-term debt. The debt was purchased for an amount equal to Geis's carrying value of the debt. (b) Geis Company owes Vogel Company $80,000 for services rendered.
Required
1. Prepare a work sheet for preparing a consolidated balance sheet as of the acquisition date.
2. User Insight: If you were reading Geis's consolidated balance sheet, what account would indicate that Geis owned less than 100 percent of Vogel and where would you find it on the balance sheet?

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Geis Company Vogel Company Assets Cash Accounts receivable Inventory Investment in Vogel Compan Property, plant, and equipment (net) Other assets Total assets $320,000 48,000 240,000 520,000 520,000 800,000 593,600 1,200,000 40,000 880,000 160,000 $3,473,600 $1,848,000 640,000 400,000 600,000 1,600,000 800,000 48,000 Total tiabilities and stockholders' equity $3,473,600 $1,848,000 Accounts payable Long-term debt Common stock, $10 par value Retained earnings 800,000 433,600