Peanut Company acquired 80 percent of Snoopy Company's outstanding common stock for $280,000 on January 1, 20X8, when the book value of Snoopy's net assets was equal to $350.000. Peanut uses the equity method to account for investments. The following trial balance summarizes the financial position and operations for Peanut and Snoopy as of December 31, 20X9. Snoopy Company Credit Peanut Company Buildings and Equipment Cash Accounts Receivable Inventory Investment in Snoopy Company Land Debit Credit $272,000 200,000 197,000 Debit $ 78,000 83,000 107,000 0 328,000 80,000 217,000 194,000 708,000 Cost of Goods Sold 166,000 350.000 Depreciation Expense 13,000 40,000 Selling & Administrative Expense 214,000 40,000 33,000 Dividends Declared 218.000 Accumulated Depreciation $497,000 68,000 $ 39,000 39,000 Accounts Payable 54,000 147,000 Bonds Payable 191,000 489,000 Common Stock 153,000 629,800 Retained Earnings 318,000 840,000 Sales Income from Snoopy Company $2.750.000 79,200 $2,750,000 $794,000 $ 794,000 Total b. Prepare a consolidation worksheet for 20X9. Assume the company prepares the optional Accumulated Depreciation Consolidation Entry and that the depreciation expense was the same amount in both 20X8 and 20X9. Note: Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet. PEANUT COMPANY AND SUBSIDIARY Consolidated Financial Statement Worksheet December 31, 20X9 Income Statement Sales Less: COGS Less: Depreciation expense Less: Selling & Administrative Expense Income from Snoopy Company Consolidated net income Noncontrolling interest in net income Controlling Interest in Net Income Statement of Retained Earnings Beginning balance Net Income Less: Dividends declared Ending Balance Balance Sheet Assets Cash Accounts receivable Inventory Investment in Snoopy Company Land Buildings and equipment Accumulated depreciation Total Assets Liabilities & Stockholders' Equity Accounts payable Bonds payable Common stock Retained earnings Noncontrolling interest in net assets of Snoopy Company Total Liabilities & Stockholders' Equity Peanut Snoopy Company Company Debit Consolidation Entries Credit Consolidated