80%, price $275,000, 2015 solamente. Instrucciones 2 y 4 (Balance Sheet)

Problem 7-2 (LO 2) Worksheet, blocks, control with first block, merchandise sales. On January 1, 2015, James Company purchase 709 of the common stock of Craft Company for $245,000. On this date, Craft has osmmon stock, other paid-in capital in excess of par, and retained earnings of $0,000,$100,000, and $1$0,000, respectively. On May 1. 2016. James Company purchases an additional 20% of the common stock of Craft Company for $92,000. Ner income and dividends for two yeans for Craft Compuny ane as follows: In 2016, the net income of Craft from January 1 through April 30 is $30,000. On Janury 1, 2015, the only tangible asset of Craft that is undervalued is equipment. which is worth $20,000 mote than book value. The equipment has a remaining life of four years, and straight-line depreciation is uved. Any remaining eacess is goodwill. In the last quarter of 2016 , Craft sells $50,000 in goods wo James, at a gross profit rate of 30%. On December 31,2016,$10,000 of these goods ate in James's ending inventory. The trial balances for the companies on December 31 , 2016, are as follows: 1. Using this information, preparc a determination and diseribution of excess schedule. Prepare an analysis of the later purchase of a 20A intertest. 2. James Company carries the investment in Caft Company under the simple equity method. In general journal form, record the entries that would be made to apply the equity method in 2015 and 2016 . 3. Compute the balance that should appear in Invesment in Craft Company and in Subsidiary Income on December 31, 2016 (the second year). Fill in these amounts on James Company's trial bulance on the worksheet for 2016. 4. Complete the worksheet for consolidated finuncial statemens for 2016