Provide all consolidating entries needed to prepare a

Question

Question - On January 1, 20X8, Vector Company acquired 70 percent of Scalar Company's ownership on for $112,000 cash. At that date, the fair value of the noncontrolling interest was $48,000. The book value of Scalar's net assets at acquisition was $125,000. The book values and fair values of Scalar's assets and liabilities were equal, except for buildings and equipment, which were worth $20,000 more than book value. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, the management of Vector concluded at December 31, 20X8, that goodwill from its acquisition of Scalar shares had been impaired and the correct carrying amount was $10,000. Goodwill and goodwill impairment were assigned proportionately to the controlling and non-controlling shareholders. No additional impairment occurred in 20X9.

Trial balance data for Vector and Scalar on December 31, 20X9, are as follows:

	Vector Co.		Scalar Co.
Item	Debit	Credit	Debit	Credit
Cash	$  108,000		$ 30,000
Accounts Receivable	60,000		25,000
Inventory	80,000		30,000
Land	150,000		50,000
Buildings and Equipment	300,000		150,000
Investment in Scalar Co.	133,000
Cost of Goods Sold	180,000		100,000
Wage Expense	50,000		34,000
Depreciation Expense	30,000		15,000
Interest Expense	25,000		6,000
Other Expenses	40,000		21,000
Dividends Declared	40,000		10,000
Accumulated Depreciation		$  150,000		$ 36,000
Accounts Payable		90,000		26,000
Wages Payable		30,800		9,000
Notes Payable		180,000		50,000
Common Stock		150,000		100,000
Retained Earnings		179,800		50,000
Sales		400,000		200,000
Income from Scalar		15,400
	$1,196,000	$1,196,000	$471,000	$471,000

Required:

1) Provide all journal entries needed at December 31, 20X0.

2) Provide all consolidating entries needed to prepare a three-part consolidation worksheet as of December 31, 20X9.

3) Prepare a three-part consolidation worksheet for 20X9 in good form.

Attachment:- Assignment.rar