(Solved): Problem 3-27 (Static) Consolidation Worksheet at End of the First Year of Ownership (Equity Method ...

Problem 3-27 (Static) Consolidation Worksheet at End of the First Year of Ownership (Equity Method) LO 3-4, 3-5 Peanut Company acquired 90 percent of Snoopy Company's outstanding common stock for \( \$ 270,000 \) on January \( 1,20 \times 8 \), when the book value of Snoopy's net assets was equal to \( \$ 300,000 \). Peanut uses the equity method to account for investments. Trial balance data for Peanut and Snoopy as of December 31, 20X8, follow: Required: a. Prepare any equity method entry(ies) related to the investment in Snoopy Company during \( 20 \times 8 . \) Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Required: a. Prepare any equity method entry(ies) related to the investment in Snoopy Company during \( 20 \times 8 . \) Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Prepare a consolidation worksheet for 20X8. Assume the company prepares the optional Accumulated Depreciation Consolidation Entry. Note: Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting 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. Statement of Retained Earnings