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Consolidated Workpapers, Two Consecutive Years, Cost Method Lo 5 On January 1, 2012, Parker Company...

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Consolidated Workpapers, Two Consecutive Years, Cost Method Lo 5 On January 1, 2012, Parker Company purchased 95% of the outstanding common stock of Sid Company for $160,000. At that time, Sid's stockholders' equity consisted of common stock, $120,000; other contributed cap- ital, $10,000; and retained earnings, $23,000. On December 31, 2012, the two companies' trial balances were as follows: Parker Sid Cash Accounts Receivable Inventory Investment in Sid Company Plant and Equipment 30,000 29,000 16,000 62,000 32,000 30,000 160,000 105,000 29,000 20,000 130,000 20,000 $588,000 82,000 34,000 20,000 40,000 14,000 S265,000 S 12,000 20,000 120,000 10,000 23,000 80,000 Dividends Declared Cost of Goods Sold Operating Expenses Total Debits Accounts Payable Other Liabilities Common Stock Other Contributed Capital Retained Earnings, 1/1 Sales Dividend Income 19,000 10,000 180,000 60,000 40,000 260,000 19.000 $588,000 Total Credits Required A. Prepare a consolidated statements workpaper on December 31, 2012. B. Prepare a consolidated statements workpaper on December 31, 2013, assuming trial balances for Parker and Sid on that date were

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