Problem $5-19($Static$)($LO $5-7)$

Padre holds $100$ percent of the outstanding shares of Sonora. On January $1,2022,$ Padre transferred equipment to Sonora for $$95,000.$ The equipment had cost $$130,000$ originally but had a $$50,000$ book value and five$-$year remaining life at the date of transfer. Depreciation expense is computed according to the straight$-$line method with no salvage value.

Consolidated financial statements for $2024$ currently are being prepared.

Required:

What worksheet entries are needed in connection with the consolidation of this asset? Assume that the parent applies the partial equity method.

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