Separate company financial statements for Pen Corporation and its subsidiary, Syn Company, at and for the year ended December 31, 2012, are summarized as follows (in thousands):
ADDITIONAL INFORMATION
1. Pen Corporation acquired 13,500 shares of Syn Company stock for $15 per share on January 1, 2011, when Syn’s stockholders’ equity consisted of $150,000 capital stock and $15,000 retained earnings.
2. Syn Company’s land was undervalued when Pen acquired its interest, and accordingly, $20,000 of the fair value/book value differential was assigned to land. Any remaining differential is assigned to unrecorded patents with a 10-year remaining life.
3. Syn Company owes Pen $5,000 on account, and Pen owes Syn $5,000 on a note payable.
REQUIRED: Prepare consolidated workpapers for Pen Corporation and Subsidiary for the year ended December 31,2012.