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Padre, Inc., buys 80percent of the outstanding common stock of Sierra Corporation on January 1,2018,for...

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Accounting

Padre, Inc., buys 80percent of the outstanding common stock of Sierra Corporation on January 1,2018,for $755,520cash. At the acquisition date, Sierras total fair value, including the noncontrolling interest, was assessed at $944,400although Sierras book value was only $673,000.Also, several individual items on Sierras financial records had fair values that differed from their book values as follows:
Book Value Fair Value
Land $ 69,100 $ 286,100
Buildings and equipment (10-year remaining life)336,000314,000
Copyright (20-year remaining life)113,000173,000
Notes payable (due in 8years)(162,000)(145,600)
For internal reporting purposes, Padre, Inc., employs the equity method to account for this investment. The following account balances are for the year ending December 31,2018,for both companies.
Please fill in the debit, credit, noncontrolling interest, and consolidated totals columns in the chart.
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