Peanut Company acquired 90 percent of Snoopy Company's outstanding common stock for $270,000 on January 1, 20X8, when the book value of Snoopy's net assets was equal to $300,000. Peanut uses the equity method to account for Investments. Trial balance data for Peanut and Snoopy as of December 31, 20X8, follow: Cash Accounts Receivable Inventory Investment in Snoopy Company Land Buildings and Equipment Cost of Goods Sold Depreciation Expense Selling & Administrative Expense Dividends Declared Accumulated Depreciation Accounts Payable Bonds Payable Common Stock Retained Earnings Sales Income from Snoopy Company Total Required: Peanut Company Snoopy Company Debit Credit Debit $ 158,000 $ 80,000 165,000 65,000 200,000 75,000 319,500 200,000 100,000 700,000 200,000 50,000 225,000 100,000 $ 450,000 Credit 200,000 125,000 10,000 40,000 20,000 $ 20,000 75,000 60,000 200,000 85,000 500,000 200,000 225,000 100,000 800,000 250,000 67,500 e $ 2,317,500 $ 2,317,500 $ 715,000 $ 715,000 a. Prepare any equity method entry(les) related to the Investment In Snoopy Company during 20X8. Note: If no entry is required for a transaction/event, select "No journal entry required" In the first account field. View transaction list Journal entry worksheet 1 2 3 Record the initial investment in Snoopy Company Note: Enter debits before credits. Event A. General Journal Debit Credit Record entry Clear entry View general journal b. Prepare a consolidation worksheet for 20X8. Assume the company prepares the optional Accumulated Depreciation Consolidation Entry. 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. Income Statement Sales PEANUT COMPANY AND SUBSIDIARY Consolidated Financial Statement Worksheet December 31, 20X8 Peanut Company Snoopy Company Consolidation Entries Consolidated Debit Credit