Consolidate balance sheet, date control is achieved The Primary Company and the VIE Company had the following balance sheet on December 31, 2015, the date control was achieved: The Primary Company...

Consolidate balance sheet, date control is achieved The Primary Company and the VIE Company had the following balance sheet on December 31, 2015, the date control was achieved:

The Primary Company guaranteed the 5% bond payable issued by the VIE Company. The Primary Company also loaned the VIE Company $300,000 on a subordinated note at 10% annual interest.

The fair value of the VIE Company’s equity is $170,000. Equipment, with a 5 year life has a value $50,000 greater than book value.

1. Prepare a determination and determination of excess schedule.

2. Prepare a worksheet for a consolidated balance as of December 31, 2015.