Problem 7-1 (LO 2) Worksheet, blocks, control with first block. The following determination and distribution of excess schedule is prepared on January 1, 20X2, the date on which Parish Company purchases a 60% interest in Sharp Company:

Determination and Distribution of Excess Schedule Company Parent NCI Implied Fair Price Value Value (60%) (40%) Fair value of subsidiary. $ 240,000 $144,000 $ 96,000 Less book value of interest acquired: Common stock.. Retained earnings Total equity.. Interest acquired Book value.. $ 75,000 60,000 $ 135,000 Excess of fair value over book value $105,000 $135,000 60% $ 81,000 $ 63,000 $135,000 40% $ 54,000 $ 42,000 Adjustment of identifiable accounts: Equipment Amortization Worksheet Adjustment per Year Life Key $ 105,000 $ 10,500 10 debit D