A Parent and Its Subsidiary Engage in Intercompany Merchandise Transactions

A parent and its subsidiary engage in intercompany merchandise transactions. Information on these transactions for the current year is as follows:
•Total sales from the parent to the subsidiary were $400,000.
•Total sales from the subsidiary to the parent were $750,000.
•The subsidiary's beginning inventory contained $85,000 in merchandise purchased from the parent. This merchandise cost the parent $60,000.
•The parent's beginning inventory contained $100,000 in merchandise purchased from the subsidiary. This merchandise cost the subsidiary $80,000.
•The subsidiary's ending inventory contained $92,000 in merchandise purchased from the parent. This merchandise cost the parent $64,000.
•The parent's ending inventory contained $110,000 in merchandise purchased from the subsidiary. The merchandise cost the subsidiary $86,000.
Required
Prepare the working paper eliminating entries (I) for the intercompany inventory transactions required to consolidate the trial balances of the parent and its subsidiary for the year.