The individual financial statements for Gibson Company and Keller Company for the year ending December 31,...

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The individual financial statements for Gibson Company and Keller Company for the year ending December 31, 2021, follow. Gibson acquired a 60 percent interest in Keller on January 1, 2020, in exchange for various considerations totaling $360,000. At the acquisition date, the fair value of the noncontrolling interest was $240,000 and Keller's book value was $470,000. Keller had developed internally a customer list that was not recorded on its books but had an acquisition-date fair value of $130,000. This intangible asset is being amortized over 20 years. Gibson uses the partial equity method to account for its investment in Keller. Gibson sold Keller land with a book value of $60,000 on January 2, 2020, for $120,000. Keller still holds this land at the end of the current year. Keller regularly transfers inventory to Gibson. In 2020, it shipped inventory costing $108,000 to Gibson at a price of $180,000. During 2021, intra-entity shipments totaled $230,000, although the original cost to Keller was only $161,000. In each of these years, 20 percent of the merchandise was not resold to outside parties until the period following the transfer. Gibson owes Keller $50,000 at the end of 2021. Keller Company (530,000) 330,000 Sales $ Gibson Company (830,000) $ Cost of goods sold 530,000 Operating expenses 130,000 40,000 Equity in earnings of Keller (96,000) 0 Net income $ (266,000) $ (160,000) Retained earnings, 1/1/21 (1,146,000) $ (635,000) Net income (above) (266,000) (160,000) Dividends declared 130,000 40,000 Retained earnings, 12/31/21 $ (1,282,000) $ (755,000) Cash $ 172,000 $ 90,000 Accounts receivable 362,000 440,000 Inventory 420,000 350,000 Investment in Keller 783,000 0 Land 140,000 420,000 Buildings and equipment (net) 499,000 330,000 Total assets $ 2,376,000 $ 1,630,000 Liabilities (474,000) $ (455,000) Common stock (620,000) (350,000) Additional paid-in capital 0 (70,000) Retained earnings, 12/31/21 (1,282,000) (755,000) Total liabilities and equities $ (2,376,000) $ (1,630,000) (Note: Parentheses indicate a credit balance.) Prepare a worksheet to consolidate the separate 2021 financial statements for Gibson and Keller. The individual financial statements for Gibson Company and Keller Company for the year ending December 31, 2021, follow. Gibson acquired a 60 percent interest in Keller on January 1, 2020, in exchange for various considerations totaling $360,000. At the acquisition date, the fair value of the noncontrolling interest was $240,000 and Keller's book value was $470,000. Keller had developed internally a customer list that was not recorded on its books but had an acquisition-date fair value of $130,000. This intangible asset is being amortized over 20 years. Gibson uses the partial equity method to account for its investment in Keller. Gibson sold Keller land with a book value of $60,000 on January 2, 2020, for $120,000. Keller still holds this land at the end of the current year. Keller regularly transfers inventory to Gibson. In 2020, it shipped inventory costing $108,000 to Gibson at a price of $180,000. During 2021, intra-entity shipments totaled $230,000, although the original cost to Keller was only $161,000. In each of these years, 20 percent of the merchandise was not resold to outside parties until the period following the transfer. Gibson owes Keller $50,000 at the end of 2021. Keller Company (530,000) 330,000 Sales $ Gibson Company (830,000) $ Cost of goods sold 530,000 Operating expenses 130,000 40,000 Equity in earnings of Keller (96,000) 0 Net income $ (266,000) $ (160,000) Retained earnings, 1/1/21 (1,146,000) $ (635,000) Net income (above) (266,000) (160,000) Dividends declared 130,000 40,000 Retained earnings, 12/31/21 $ (1,282,000) $ (755,000) Cash $ 172,000 $ 90,000 Accounts receivable 362,000 440,000 Inventory 420,000 350,000 Investment in Keller 783,000 0 Land 140,000 420,000 Buildings and equipment (net) 499,000 330,000 Total assets $ 2,376,000 $ 1,630,000 Liabilities (474,000) $ (455,000) Common stock (620,000) (350,000) Additional paid-in capital 0 (70,000) Retained earnings, 12/31/21 (1,282,000) (755,000) Total liabilities and equities $ (2,376,000) $ (1,630,000) (Note: Parentheses indicate a credit balance.) Prepare a worksheet to consolidate the separate 2021 financial statements for Gibson and Keller.