prepare a three part consolidation worksheet s of december 31 20×7 347590

1) c. Prepare a three part consolidation worksheet s of December 31, 20×7: • 0 •r rani e Co. Corp. Elimination Entries DR CR Consolidated Income Statement Sales 700,000 400,000 1,100,000 500,000 250,000 Less: COGS Less: Depreciation Expense 25,000 15,000 75,000 75,000 Less: Other Expenses 45,000 Income from Granite Co. 1_1 145,000 60,000 Consolidated Net Income NCI in Net Income 145,000 60,000 Controlling Interest in Net Income Statement of Retained Earnings 290,000 100,000 Beginning Balance 145,000 60,000 Net Income Less: Dividends Declared 50,000 20,000 Ending Balance 385,000 140,000 163,750 23,750 385,000 Balance Sheet 38,000 25,000 Cash 63,000 50,000 55,000 Accounts Receivable 240,000 100,000 Inventory 80,000 20,000 Land 500,000 150,000 Buildings & Equipment 155,000 75,000 Less: Accumulated Depreciation Investment in Granite Co. 202,000 Goodwill 25,000 25,000 955,000 275,000 126,250 281,750 Total Assets 1,074,500 70,000 35,000 Accounts Payable 200,000 50,000 Mortgage Payable 300,000 50,000 Common Stock Retained Earnings 385,000 140,000 NCI in NA of Granite Co. Total Liabilities & Equity 955,000 275,000 229,750 74,250 1,074,500(1 3 Debit Credit Basic elimination entry Common stock 50000 Retained earnings 100000 Income from Granite Co. NCI in NI of Granite Co. Dividends declared 20000 Investment in Granite Co. NCI in NA of Granite Co. Excess Value (Differential) Calculations: Goodwill NCI 20% + Mortar Corp. 80% Bldgs & Equip Acc. Depr. 41,250 0 25,000 Beginning balance 13,250 53,000 Changes Ending balance Amortized excess value reclassification entry: Debit Credit Depreciation expense Income from Granite Co. NCI in NI of Granite Co. Excess value (differential) reclassification entry: 41,250 Buildings & Equipment Goodwill 25,000 Acc. Depr. Investment in Granite Co. NCI in NA of Granite Co. Eliminate intercompany accounts: !Accounts payable 16,000 16,000…