On January $1,2023,$ Palo Verde Corporation acquired $100$ percent of the voting stock of Silverstone Corporation in exchange for

$$2,343,000$ in cash and securities$.$ On the acquisition date, Silverstone had the following balance sheet:

At the acquisition date, the book values of Silverstone's assets and liabilities were generally equivalent to their fair values except for

the following assets:

During the next two years, Silverstone has the following income and dividends in its own separately prepared financial reports to its

parent.

Dividends are declared and paid in the same period. The December $31,2024,$ separate financial statements for each company follow.

Parentheses indicate credit balances.

Required:

a$.$ Determine the fair value in excess of book value for Palo Verde's acquisition date investment in Silverstone.

b$.$ Determine Palo Verde's December $31,2024,$ Investment in Silverstone balance.

c$.$ Prepare a worksheet to determine the balances for Palo Verde's December $31,2024,$ consolidated financial statements.

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