Week 3: Homework x M McGraw Hill - Connect X M Question 4 - Week 3: Homework X Q course hero - Search * *Course Hero * + X - Cn https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fconnect.mheducation.com%252Fconne.. A" . .. Week 3: Homework Saved Help Save & Exit Submit Q Check my work 4 The following are selected accounts and balances for Mergaronite Company and Hill, Inc., as of December 31, 2021. Several of Mergaronite's accounts have been omitted. Credit balances are indicated by parentheses. Dividends were declared and paid in the same period. 10 points Mergaronite Hill Revenues $ (618, 000) (248, 000) O Cost of goods sold 300, 000 118, 000 102, 000 56, 900 eBook Depreciation expense Investment income NA NA Retained earnings, 1/1/21 (882, 000) (580, 000) Print Dividends declared 124, 000 42, 000 References Current assets 184, 000 700, 000 Land 308, 000 96, 000 + Buildings (net) 484, 000 134, 000 Equipment (net) 200, 000 246, 000 Liabilities 414,000 310, 000 Common stock (288,000) (40, 000) Additional paid-in capital (42,000) (906, 000) Assume that Mergaronite acquired Hill on January 1, 2017, by issuing 6,600 shares of common stock having a par value of $10 per share but a fair value of $100 each. On January 1, 2017, Hill's land was undervalued by $20,600, its buildings were overvalued by $28,000, and equipment was undervalued by $61,400. The buildings had a 10-year remaining life; the equipment had a 5-year remaining life. A customer list with an appraised value of $90,000 was developed internally by Hill and was estimated to have a 20- year remaining useful life. a. Determine the December 31, 2021, consolidated totals for the following accounts: b. In requirement (a), can the consolidated totals be determined without knowing which method the parent used to account for the subsidiary? c. If the parent uses the equity method, what consolidation entries would be used on a 2021 worksheet? Mc Graw Hill 83 F Partly sunny Q Search L 7:31 PM 7/28/2024Week 3: Homework x M McGraw Hill - Connect X M Question 4 - Week 3: Homework X Q course hero - Search * *Course Hero * + X - CA https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fconnect.mheducation.com%252Fconne... A" . . . Week 3: Homework Saved Help Save & Exit Submit Q Check my work 4 a. Determine the December 31, 2021, consolidated totals for the following accounts: b. In requirement (a), can the consolidated totals be determined without knowing which method the parent used to account for the subsidiary? c. If the parent uses the equity method, what consolidation entries would be used on a 2021 worksheet? 10 points O Complete this question by entering your answers in the tabs below. eBook Print Required A Required B Required C References + Determine the December 31, 2021, consolidated totals for the following accounts: (Input all amounts as positive values.) Consolidated Totals Revenues $ 866,000 Cost of goods sold $ 418,000 Depreciation expense $ 158,000 Amortization expense Buildings $ 618,000 Equipment $ 446,000 Customer list Common stock Additional paid-in capital Mc Graw 83 F Q Search L COL W 7:31 PM Partly sunny 7/28/2024Week 3: Homework x M McGraw Hill - Connect X M Question 4 - Week 3: Homework X Q course hero - Search * *Course Hero * + X https://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fconnect.mheducation.com%252Fconne.. A" . . . Week 3: Homework i Saved Help Save & Exit Submit Q Check my work 4 Required A Required B Required C If the parent uses the equity method, what consolidation entries would be used on a 2021 worksheet? (If no entry is required for a 10 transaction/event, select "No journal entry required" in the first account field.) points O view transaction list eBook Print References + 1 Prepare Entry S to eliminate the beginning stockholders' equity of the subsidiary. 2 Prepare Entry A to recognize the unamortized allocation balances as of the beginning of the current year. 3 Prepare Entry I to remove the equity income recognized during the year - equity method. 4 Prepare Entry D to remove the Intra-entity dividend Credit declarations. 5 Prepare Entry E to recognize the excess acquisition-date fair-value amortizations for the period. Note : = journal entry has been entered Record entry Clear entry view general journal Mc Graw 4 of 5 Hill 83 F Partly sunny Q Search CO W 7:31 PM 7/28/2024