Using the information presented in Problem 7-4, prepare a consolidated financial statements workpaper for the year ended December 31, 2020, using the trial balance format.

Prout Company $ 568,000 Sexton Company $ 271,000 830,000 Current Assets Fixed Assets 1,972,000 Other Assets 1,000,800 1,600,000 Investment in Sexton Company Dividends Declared 1,600,000 120,000 100,000 Cost of Goods Sold 942,000 795,000 Other Expenses (including depreciation) Income Tax Expense 145,000 90,000 187,200 90,000 Total $6,535,000 $3,776,000 $ 305,000 375,000 Liabilities $ 136,000 Accumulated Depreciation Sales Dividend Income 290,000 1,475,000 80,000 1,110,000 Common Stock 3,000,000 1,200,000 Retained Earnings 1/1 1,300,000 1,040,000 Total $6,535,000 $3,776,000