On January $1,2021,$ Access IT Company exchanged $$1,090,000$ for $40$ percent of the outstanding voting stock of Net Connect.

Especially attractive to Access IT was a research project underway at Net Connect that would enhance both the speed and quantity of

client$-$accessible data. Although not recorded in Net Connect's financial records, the fair value of the research project was considered

to be $$2,050,000.$

In contractual agreements with the sole owner of the remaining $60$ percent of Net Connect, Access IT was granted $(1)$ various decision$-$

making rights over Net Connect's operating decisions and $(2)$ special service purchase provisions at below$-$market rates. As a result of

these contractual agreements, Access IT established itself as the primary beneficiary of Net Connect. Immediately after the purchase,

Access IT and Net Connect presented the following balance sheets:

$($Note: Parentheses indicate credit balances.$)$

Each of the above amounts represents a fair value at January $1,2021.$ The fair value of the $60$ percent of Net Connect shares not

owned by Access IT was estimated at $$1,635,000.$

Prepare an acquisition$-$date consolidation worksheet for Access IT and its variable interest entity. $($For accounts where multiple

consolidation 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.

Input all amounts as positive values.$)$