On January $2,2015,$ Madison, Inc. acquired Alton Enterprises as a wholly$-$owned subsidiary, pay$$ng $$1,224,000$ in a taxable transaction. The purchase price was $$700,000$ in excess of the book value of Alton's net assets. Part of the excess was attributable to a building with a $10-$year life undervalued by $$450,000.$ The rest was goodwill. The parent uses the cost method of pre$-$consolidation Equity investment bookkeeping. Neither company has issued any shares of stock during this time period. The $2017$ financial statements for the two companies are presented below.

a$.$ Allocate the purchase price to the net assets acquired and calculate goodwill at January $2,2015.$ Back into the total book value of Alton SE given the information provided.

b$.$ Prepare the reconciliations of Alton's SE to the Equity Method investment balances at January $1,2017$ and December $31,2017.$

c$.$ Prepare the consolidating entries for $2017.$

d$.$ At what amount will the following accounts appear on the consolidated financial statements for $2017?$

Cost of Goods Sold

Dividend Income

Operating Expenses

Cash and Receivables

Equity Investment

Property, Plant and Equipment $($net of accumulated depreciation$)$

Goodwill

Common Stock

Retained Earnings