Pitcher received $$210,000$ from Softball for a truck Pitcher had purchased on January $1,202,$ for $$300,000.$ The truck is expected to

have a $10-$year useful life and no salvage value. Both companies depreciate trucks on a straight$-$line basis.

Required:

a$.$ Prepare the worksheet consolidation entry or entries needed at December $31,20$X$5,$ to remove the effects of the intercompany

sale.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Consolidation

Worksheet Entries

A

Record the entry to eliminate the gain on the truck and to correct the asset's

basis.

Note: Enter debits before credits.

b$.$ Prepare the worksheet consolidation entry or entries needed at December $31,206,$ to remove the effects of the intercompany

sale.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Consolidation

Worksheet Entries

A $B$

Record the entry to adjust Accumulated Depreciation.

Note: Enter debits before credits.