(Solved): On January 1, 2020, Innovus, Inc., acquired 100 percent of the common stock of ChipTech Company fo ...

On January 1, 2020, Innovus, Inc., acquired 100 percent of the common stock of ChipTech Company for $670,000 in cash and other fair-value consideration. Chip Tech's fair value was allocated among its net assets as follows: Fair value of consideration transferred for ChipTech $670,000 Book value of ChipTech: Common stock and Additional Paid-In Capital (APIC) Retained earnings $130,000 370,000 500,000 170,000 Excess fair value over book value to Trademark (10-year remaining life) $ 40,000 80,000 120,000 Existing technology (5-year remaining life) Goodwill $ 50,000 The December 31, 2021, trial balances for the parent and subsidiary follow (there were no intra-entity payables on that date): Innovus Chip Tech $(210,000) Revenues S (990,000) Cost of goods sold 500,000 90,000 Depreciation expense 100,000 5,000 Amortization expense 55,000 18,000 Dividend income (40,000) -0- Net income $ (375.000) $ (97.000) $(450,000) Retained earnings 1/1/21 Net income $(1,555,000) (375,000) 250,000 (97,000) 40,000 Dividends declared Retained earnings 12/31/21 $(1,680,000) $(507,000) Current assets $ 960,000 $ 355,000 Investment in Chip Tech 670,000 Equipment (net) 765,000 225,000 Trademark 235,000 100,000 Existing technology 45,000 -0- 450,000 Goodwill -0- Total assets $ 3,080,000 $ 725,000 Liabilities $ (780,000) (88,000) Common stock (500,000) (100,000) Additional paid-in capital (120,000) (30,000) (507.000) Retained earnings 12/31/21 (1,680,000) Total liabilities and equity $(3.080,000) $(725,000) Using Excel, compute consolidated balances for Innovus and ChipTech by completing the provided worksheet. The Excel Template can be accessed by clicking this link.