On July 31, 2019, Ping Company purchased 90% of Santos Company?s common stock for $2,010,000 cash. Immediately after the acquisition, the two companies? balance sheets were as follows:

Santos Company has not yet recorded the $60,000 cash advance from Ping Company. Ping Company?s accounts receivable include $20,000 due from Santos Company. Santos Company?s $100,000 note payable is payable to Ping Company. Neither company has recorded $7,000 of interest accrued on the note from January 1 to July 31. Any difference between book value and the value implied by the purchase price relates to land.

Required:

Prepare a consolidated balance sheet workpaper on July 31, 2019.

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Ping Santos $ 320,000 $ 150,000 Cash Accounts receivable 600,000 300,000 Note receivable 100,000 1,840,000 60,000 2,010,000 3,000,000 90,000 -0- Inventory Advance to Santos Company Investment in Santos Company Plant and equipment (net) Land 400,000 1,500,000 90,000 $8,020,000 $2,440,000 Total Ping Santos Accounts payable Notes payable Common stock Other contributed capital Retained earnings $ 800,000 $ 140,000 2,400,000 2,200,000 100,000 900,000 680,000 620,000 1,720,000 Total $8,020,000 $2,440,000