On January 2,2014,Power Incorporated Paid $630,000 for a 90% Interest

question 25

Essay

On January 2,2014,Power Incorporated paid $630,000 for a 90% interest in Smallsen Company.Smallsen's equity at that time amounted to $600,000,and their book values for assets and liabilities recorded approximated their fair values.Smallsen did not issue any additional stock in 2014.At December 31,2014,the two companies' balance sheets are summarized as follows:
Required: Complete the consolidation worksheet for Power Incorporated and Subsidiary at December 31,2014.

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Definitions:

WT Transmission

WT Transmission, if referring to a specific technology or model, could denote a specialized transmission system; however, without further context, the exact nature of "WT Transmission" is unclear.

Clutches Applied

A phrase referring to the engagement of a clutch, which connects two rotating shafts or a rotating shaft to a stationary component, allowing power transfer.

Forward or Reverse

Terms indicating the direction of movement or operation, typically used in the context of vehicle transmissions or machinery controls.

Serial Communications Interface

A method of transferring information between a computer and peripheral devices, one bit at a time, sequentially over a communication channel.