Consolidation Working Paper, Simple Example Below are the condensed balance sheets of Princecraft and Sylvan Companies just prior to Princecraft's acquisition of all of the voting shares of Sylvan for $40 million in cash. The book values of Sylvan Company's net assets approximate fair value. Balance Sheets Cash Other current assets Property and equipment, net Total assets Total liabilities Common stock Additional paid-in capital Retained earnings Total liabilities and equity Princecraft Sylvan Company Company $60,000,000 $2,000,000 20,000,000 8,000,000 70,000,000 15,000,000 $150,000,000 $25,000,000 $30,000,000 $8,000,000 15,000,000 5,000,000 45,000,000 10,000,000 60,000,000 2,000,000 $150,000,000 $25,000,000