Complete Equity Method and Eliminating Entries, Four Years After Acquisition On January $1,2020,$ Peerless Network acquired all of the stock of Sound Telecom for $$400$ million in cash. At the date of acquisition, Sound Telecom's shareholders' equity was as follows $($in millions$)$:

Capital stock.

Retained earnings

Accumulated other comprehensive income

Total

$$10$

$50$

$2$

$$62$

An evaluation of Sound Telecom's balance sheet at January $1,2020,$ revealed that its plant assets $(10-$year remaining life$)$ were overvalued by $$40$ million and it had previously unrecorded identifiable intangible assets $(5-$year remaining life$)$ of $$10$ million. Goodwill from this acquisition was impaired by $$5$ million during $2020-2022,$ and by $$1$ million in $2023.$

Peerless Network reports its investment using the complete equity method. The following are the separate trial balances of Peerless and Sound Telecom at December $31,2023,$ four years after the acquisition.

$\backslash$table$[[($in thousands$),\backslash$table$[[$Peerless Network$],[$Dr $($Cr$)]],\backslash$table$[[$Sound Telecom$],[$Dr $($Cr$)]]],[,\backslash$table$[[$$$175,000$