PAM CORPORATION AND SUBSIDIARY CONSOLIDATION WORKAPER

FOR THE YEAR ENDED DECEMBER 31. 2016

Adjustment and
Elimination
Pam 75% Sun Debit Credit
Income Statement
Sales $ 1,600,000 $ 400,000
Income from Sun $ 55,200 $ 55,200
Cost of sales $ (1,000,000) $ (200,000)
Other expenses $ (388,000) $ (104,000) $ 22,400
Consolidated Net Income
Noncontrolling Interest Share $ 18,400
Controlling Share of Net Income $ 267,200 $ 96,000

Retained Earnings Statement

Retained Earnings - Pam $ 720,000
Retained Earnings - Sun $ 136,000 $ 136,000
Add : Controlling Share of Net Income $ 267,200 $ 96,000
Deduct : Dividends $ (200,000) $ (64,000) $ 48,000
$ 16,000
Retained Earnings December, 31 $ 787,200 $ 168,000

Balance Sheet
Cash $ 212,000 $ 60,000
Accounts Receivable $ 344,000 $ 80,000
Dividens Receivable from Sum $ 24,000 $ 24,000
Inventories $ 380,000 $ 40,000
Note Receivable from Pam $ 20,000 $ 20,000
Land $ 260,000 $ 120,000
Buildings - net $ 680,000 $ 320,000
Equipments - net $ 520,000 $ 200,000
Investmet in Sum $ 727,200 $ 7,200
$ 720,000
Patents $ 224,000 $ 22,400
$ 3,147,200 $ 840,000

Accounts Payable $ 340,000 $ 40,000

Note Payable to Sun $ 20,000 $ 20,000
Dividend Payable $ 32,000 $ 24,000
Capital Stock, $10 par $ 2,000,000 $ 600,000 $ 600,000
Retained Earnings $ 787,200 $ 168,000
 $ 3,147,200 $ 840,000

Non Controlling Interest, January 1 $ 2,400

Non Controlling Interest, December 1 $ 240,000
$ 1,100,000 $ 1,100,000
RKAPER

Consolidated
Statements

$ 2,000,000
$ -
$ (1,200,000)
$ (514,400)
$ 285,600
$ (18,400)
$ 267,200

$ 720,000
$ -
$ 267,200

$ (200,000)
$ 787,200

$ 272,000
$ 424,000
$ -
$ 420,000

$ 380,000
$ 1,000,000
$ 720,000

$ -
$ 201,600
$ 3,417,600

$ 380,000
$ -
$ 8,000
$ 2,000,000
$ 787,200
$ 242,400
$ 3,417,600