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Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...

Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance:

Debit Credit
Accounts payable $ 57,600
Accounts receivable $ 40,600
Additional paid-in capital 50,000
Buildings (net) (4-year remaining life) 126,000
Cash and short-term investments 65,750
Common stock 250,000
Equipment (net) (5-year remaining life) 390,000
Inventory 100,000
Land 110,000
Long-term liabilities (mature 12/31/20) 187,500
Retained earnings, 1/1/17 306,850
Supplies 19,600
Totals $ 851,950 $ 851,950

During 2017, Abernethy reported net income of $108,500 while declaring and paying dividends of $14,000. During 2018, Abernethy reported net income of $139,750 while declaring and paying dividends of $54,000.

Assume that Chapman Company acquired Abernethy’s common stock for $719,200 in cash. As of January 1, 2017, Abernethy’s land had a fair value of $122,700, its buildings were valued at $185,200, and its equipment was appraised at $353,250. Chapman uses the equity method for this investment.

Prepare consolidation worksheet entries for December 31, 2017, and December 31, 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

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Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance:DebitCreditAccounts payable$53,700Accounts receivable$41,000Additional paid-in capital50,000Buildings (net) (4-year remaining life)184,000Cash and short-term investments77,250Common stock250,000Equipment (net) (5-year remaining life)400,000Inventory117,500Land107,500Long-term liabilities (mature 12/31/20)173,000Retained earnings, 1/1/17417,450Supplies16,900Totals$944,150$944,150During 2017, Abernethy reported net income of $98,000 while declaring and paying dividends of $12,000. During 2018, Abernethy reported net income of $128,250 while declaring and paying dividends of $39,000.Assume that Chapman Company acquired Abernethy’s common stock...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance:DebitCreditAccounts payable$55,100Accounts receivable$44,700Additional paid-in capital50,000Buildings (net) (4-year remaining life)163,000Cash and short-term investments83,750Common stock250,000Equipment (net) (5-year remaining life)207,500Inventory122,000Land85,500Long-term liabilities (mature 12/31/20)162,500Retained earnings, 1/1/17202,150Supplies13,300Totals$719,750$719,750During 2017, Abernethy reported net income of $105,000 while declaring and paying dividends of $13,000. During 2018, Abernethy reported net income of $136,750 while declaring and paying dividends of $36,000.Assume that Chapman Company acquired Abernethy’s common stock...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance: Debit Credit Accounts payable $ 59,500 Accounts receivable $ 46,600 Additional paid-in capital 50,000 Buildings (net) (4-year remaining life) 145,000 Cash and short-term investments 84,250 Common stock 250,000 Equipment (net) (5-year remaining life) 257,500 Inventory 106,000 Land 129,000 Long-term liabilities (mature 12/31/20) 151,000 Retained earnings, 1/1/17 273,050 Supplies 15,200 Totals $ 783,550 $ 783,550 During 2017, Abernethy...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance: Debit Credit Accounts payable $ 58,000 Accounts receivable $ 40,200 Additional paid-in capital 50,000 Buildings (net) (4-year remaining life) 170,000 Cash and short-term investments 66,750 Common stock 250,000 Equipment (net) (5-year remaining life) 372,500 Inventory 109,500 Land 116,000 Long-term liabilities (mature 12/31/20) 165,000 Retained earnings, 1/1/17 369,150 Supplies 17,200 Totals $ 892,150 $ 892,150 During 2017, Abernethy...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance: Debit Credit Accounts payable $ 50,000 Accounts receivable $ 40,000 Additional paid-in capital 50,000 Buildings (net) (4-year remaining life) 120,000 Cash and short-term investments 60,000 Common stock 250,000 Equipment (net) (5-year remaining life) 200,000 Inventory 90,000 Land 80,000 Long-term liabilities (mature 12/31/20) 150,000 Retained earnings, 1/1/17 100,000 Supplies 10,000 Totals $ 600,000 $ 600,000 During 2017, Abernethy...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance: Debit Credit Accounts payable $ 54,100 Accounts receivable $ 48,500 Additional paid-in capital 50,000 Buildings (net) (4-year remaining life) 130,000 Cash and short-term investments 66,000 Common stock 250,000 Equipment (net) (5-year remaining life) 437,500 Inventory 109,000 Land 89,000 Long-term liabilities (mature 12/31/20) 178,500 Retained earnings, 1/1/17 358,800 Supplies 11,400 Totals $ 891,400 $ 891,400 During 2017, Abernethy...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance: Debit Credit Accounts payable $ 56,400 Accounts receivable $ 43,900 Additional paid-in capital 50,000 Buildings (net) (4-year remaining life) 217,000 Cash and short-term investments 76,750 Common stock 250,000 Equipment (net) (5-year remaining life) 367,500 Inventory 96,500 Land 122,000 Long-term liabilities (mature 12/31/20) 182,500 Retained earnings, 1/1/17 396,250 Supplies 11,500 Totals $ 935,150 $ 935,150 During 2017, Abernethy...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance: Debit Credit Accounts payable $ 57,600 Accounts receivable $ 40,600 Additional paid-in capital 50,000 Buildings (net) (4-year remaining life) 126,000 Cash and short-term investments 65,750 Common stock 250,000 Equipment (net) (5-year remaining life) 390,000 Inventory 100,000 Land 110,000 Long-term liabilities (mature 12/31/20) 187,500 Retained earnings, 1/1/17 306,850 Supplies 19,600 Totals $ 851,950 $ 851,950 During 2017, Abernethy...
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Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance: Debit Credit Accounts payable $ 50,000 Accounts receivable $ 40,000 Additional paid-in capital 50,000 Buildings (net) (4-year remaining life) 120,000 Cash and short-term investments 60,000 Common stock 250,000 Equipment (net) (5-year remaining life) 200,000 Inventory 90,000 Land 80,000 Long-term liabilities (mature 12/31/20) 150,000 Retained earnings, 1/1/17 100,000 Supplies 10,000 Totals $ 600,000 $ 600,000 During 2017, Abernethy...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that...
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that date, Abernethy has the following trial balance: Debit Credit Accounts payable $ 53,700 Accounts receivable $ 41,000 Additional paid-in capital 50,000 Buildings (net) (4-year remaining life) 184,000 Cash and short-term investments 77,250 Common stock 250,000 Equipment (net) (5-year remaining life) 400,000 Inventory 117,500 Land 107,500 Long-term liabilities (mature 12/31/20) 173,000 Retained earnings, 1/1/17 417,450 Supplies 16,900 Totals $ 944,150 $ 944,150 During 2017, Abernethy...
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