Assume that Pop Corporation acquires a 90 percent interest in Son Corporation for $225,000 cash on January 1, 2016. Comparative balance sheets of the two companies immediately before the acquisition are as follows (in thousands):

Pop Son____________

Book Value Fair Value Book Value Fair Value

Cash $300 $300 $ 10 $ 10

Accounts Receivable, net 100 100 35 40

Inventories 110 140 45 55

Other current assets 30 30 10 10

Plant assets – net 200 270 70 95

Total assets 740 840 170 210

Liabilities 100 100 20 20

Capital stock, $10 par 500 130

Retained earnings 140 20

Total equities 740 170

Required:

1. Write down the journal entry to record the 100 percent push-down adjustment (entity theory) on Son’s separate books at January 1, 2016.