O n January 1 , 2 0 2 3 , Panther, Incorporated, issued s e c u r i t i e s with a total fair value o f $ 5 9 7 , 0 0 0 for 1 0 0 percent o f Stark Corporation's outstanding ownership shares Stark has long supplied inventory t o Panther The companies expect t o achieve synergies with production scheduling and product development with this combination Although Stark's book value a t the acquisition date was $ 3 4 1 , 0 0 0 , the fair value o f its trademarks was assessed t o b e $ 7 4 , 0 0 0 more than their carrying amounts Additionally, Stark's patented technology was undervalued i n its accounting records b y $ 1 8 2 , 0 0 0 The trademarks were considered t o have indefinite lives, and the estimated remaining life o f the patented technology was eight years I n 2 0 2 3 , Stark sold Panther inventory costing $ 1 1 0 , 0 0 0 for $ 2 2 0 , 0 0 0 A s o f December 3 1 , 2 0 2 3 , Panther had resold 7 7 percent o f this inventory I n 2 0 2 4 , Panther bought from Stark $ 1 7 9 , 0 0 0 o f inventory that had a n original cost o f $ 8 9 , 5 0 0 A t the end o f 2 0 2 4 , Panther held $ 4 8 , 3 0 0 ( t r a n s f e r price ) o f inventory acquired from Stark, all from its 2 0 2 4 purchases During 2 0 2 4 , Panther sold Stark a parcel o f land for $ 1 1 2 , 5 0 0 and recorded a gain o f $ 1 9 , 9 0 0 o n the sale Stark still owes Panther $ 7 7 , 6 0 0 ( c u r r e n t liability ) related t o the land sale A t the end o f 2 0 2 4 , Panther and Stark prepared the following statements for consolidation Required a Show how Panther computed its $ 5 8 , 0 0 0 equity i n Stark's earnings balance b Prepare a 2 0 2 4 consolidated worksheet for Panther and Stark Complete this question b y entering your answers i n the t a b s below Required A Show how Panther computed its $ 5 8 , 0 0 0 equity i n Stark's earnings balance Complete this question b y entering your answers i n the t a b s below Required A Required B Prepare a 2 0 2 4 consolidated worksheet for Panther and Stark Note For accounts where multiple consolidation entries are required, combine all debit entries into one amount and enter this amount i n the debit column o f the worksheet Similarly, combine all credit entries into one amount and enter this amount i n the credit column o f the worksheet Input all amounts a s positive values Show less P A N T H E R A N D S T A R K C o n s o l i d a t i o n W o r k s h e e t F o r t h e Y e a r E n d i n g D e c e m b e r 3 1 2 0 2 4 A c c o u n t s P a n t h e r S t a r k C o n s o l i d a t i o n E n t r i e s C o n s o l i d a t e d T o t a l s D e b i t C r e d i t R e v e n u e s $ ( 8 8 8 , 8 0 0 ) $ ( 3 9 7 , 0 0 0 ) C o s t o f g o o d s s o l d 3 8 2 4 0 0 2 0 8 3 0 0 O t h e r o p e r a t i n g e x p e n s e s 2 0 9 3 0 0 8 9 2 0 0 G a i n o n s a l e o f l a n d 1 9 , 9 0 0 0 E q u i t y i n S t a r k ' s e a r n i n g s 5 8 , 0 0 0 0 N e t i n c o m e $ ( 3 7 5 , 0 0 0 ) $ ( 9 9 , 5 0 0 ) R e t a i n e d e a r n i n g s 1 1 $ ( 3 7 9 , 5 0 0 ) $ ( 3 2 3 , 2 0 0 ) N e t i n c o m e 3 7 5 , 0 0 0 9 9 , 5 0 0 D i v i d e n d s d e c l a r e d 1 0 2 5 0 0 3 8 0 0 0 R e t a i n e d e a r n i n g s 1 2 3 1 $ ( 6 5 2 , 0 0 0 ) $ ( 3 8 4 , 7 0 0 ) C a s h a n d r e c e i v a b l e s $ 1 4 3 0 0 0 $ 1 9 5 0 0 0 I n v e n t o r y 4 3 5 4 0 0 1 3 8 7 0 0 I n v e s t m e n t i n S t a r k 7 6 7 9 0 0 0 T r a d e m a r k s 0 7 3 0 0 0 L a n d b u i l d i n g s a n d e q u i p m e n t ( n e t ) 8 9 4 2 0 0 3 5 2 3 0 0 P a t e n t e d t e c h n o l o g y 0 1 5 7 2 0 0 T o t a l a s s e t s $ 2 2 4 0 5 0 0 $ 9 1 6 2 0 0 L i a b i l i t i e s $ ( 8 5 4 , 2 0 0 ) $ ( 3 1 4 , 7 5 0 ) C o m m o n s t o c k 4 0 0 , 0 0 0 1 9 5 , 0 0 0 A d d i t i o n a l p a i d i n c a p i t

Question

O n January 1 , 2 0 2 3 , Panther, Incorporated, issued s e c u r i t i e s with a total fair value o f $ 5 9 7 , 0 0 0 for 1 0 0 percent o f Stark Corporation's outstanding ownership shares  Stark has long supplied inventory t o Panther  The companies expect t o achieve synergies with production scheduling and product development with this combination  Although Stark's book value a t the acquisition date was $ 3 4 1 , 0 0 0 , the fair value o f its trademarks was assessed t o b e $ 7 4 , 0 0 0 more than their carrying amounts  Additionally, Stark's patented technology was undervalued i n its accounting records b y $ 1 8 2 , 0 0 0   The trademarks were considered t o have indefinite lives, and the estimated remaining life o f the patented technology was eight years  I n 2 0 2 3 , Stark sold Panther inventory costing $ 1 1 0 , 0 0 0 for $ 2 2 0 , 0 0 0   A s o f December 3 1 , 2 0 2 3 , Panther had resold 7 7 percent o f this inventory  I n 2 0 2 4 , Panther bought from Stark $ 1 7 9 , 0 0 0 o f inventory that had a n original cost o f $ 8 9 , 5 0 0   A t the end o f 2 0 2 4 , Panther held $ 4 8 , 3 0 0 ( t r a n s f e r price ) o f inventory acquired from Stark, all from its 2 0 2 4 purchases  During 2 0 2 4 , Panther sold Stark a parcel o f land for $ 1 1 2 , 5 0 0 and recorded a gain o f $ 1 9 , 9 0 0 o n the sale  Stark still owes Panther $ 7 7 , 6 0 0 ( c u r r e n t liability ) related t o the land sale  A t the end o f 2 0 2 4 , Panther and Stark prepared the following statements for consolidation  Required  a   Show how Panther computed its $ 5 8 , 0 0 0 equity i n Stark's earnings balance  b   Prepare a 2 0 2 4 consolidated worksheet for Panther and Stark  Complete this question b y entering your answers i n the t a b s below  Required A Show how Panther computed its $ 5 8 , 0 0 0 equity i n Stark's earnings balance  Complete this question b y entering your answers i n the t a b s below  Required A Required B Prepare a 2 0 2 4 consolidated worksheet for Panther and Stark  Note  For accounts where multiple consolidation entries are required, combine all debit entries into one amount and enter this amount i n the debit column o f the worksheet  Similarly, combine all credit entries into one amount and enter this amount i n the credit column o f the worksheet  Input all amounts a s positive values  Show less P A N T H E R A N D S T A R K                   C o n s o l i d a t i o n W o r k s h e e t                   F o r t h e Y e a r E n d i n g D e c e m b e r 3 1 2 0 2 4                 A c c o u n t s P a n t h e r S t a r k C o n s o l i d a t i o n E n t r i e s C o n s o l i d a t e d T o t a l s           D e b i t C r e d i t                 R e v e n u e s $ ( 8 8 8 , 8 0 0 ) $ ( 3 9 7 , 0 0 0 )               C o s t o f g o o d s s o l d 3 8 2 4 0 0 2 0 8 3 0 0           O t h e r o p e r a t i n g e x p e n s e s 2 0 9 3 0 0 8 9 2 0 0           G a i n o n s a l e o f l a n d 1 9 , 9 0 0 0               E q u i t y i n S t a r k ' s e a r n i n g s 5 8 , 0 0 0 0               N e t i n c o m e $ ( 3 7 5 , 0 0 0 ) $ ( 9 9 , 5 0 0 )               R e t a i n e d e a r n i n g s 1 1 $ ( 3 7 9 , 5 0 0 ) $ ( 3 2 3 , 2 0 0 )             N e t i n c o m e 3 7 5 , 0 0 0 9 9 , 5 0 0               D i v i d e n d s d e c l a r e d 1 0 2 5 0 0 3 8 0 0 0           R e t a i n e d e a r n i n g s 1 2 3 1 $ ( 6 5 2 , 0 0 0 ) $ ( 3 8 4 , 7 0 0 )             C a s h a n d r e c e i v a b l e s $ 1 4 3 0 0 0 $ 1 9 5 0 0 0           I n v e n t o r y 4 3 5 4 0 0 1 3 8 7 0 0           I n v e s t m e n t i n S t a r k 7 6 7 9 0 0 0             T r a d e m a r k s 0 7 3 0 0 0             L a n d b u i l d i n g s a n d e q u i p m e n t ( n e t ) 8 9 4 2 0 0 3 5 2 3 0 0       P a t e n t e d t e c h n o l o g y 0 1 5 7 2 0 0             T o t a l a s s e t s $ 2 2 4 0 5 0 0 $ 9 1 6 2 0 0         L i a b i l i t i e s $ ( 8 5 4 , 2 0 0 ) $ ( 3 1 4 , 7 5 0 )               C o m m o n s t o c k 4 0 0 , 0 0 0 1 9 5 , 0 0 0               A d d i t i o n a l p a i d   i n c a p i t

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Question: O n January 1 , 2 0 2 3 , Panther, Incorporated, issued s e c u r i t i e s with a

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