Presented Below Are the Balance Sheets of Tallton Company and Handel

Presented below are the balance sheets of Tallton Company and Handel Company at January 1,2X13: $\begin{array}{llll}\begin{array} { llll } &\text { Handel Company } &&\text { Tallton Company } \\&\text { Balance Sheet } &&\text { Balance Sheet } \\&\text { January 1, 2X13 } &&\text {January 1, 2X13 } \\\end{array}\\\begin{array} { llll } \text { Cash } & \$ 70 & \text { Cash } & \$ 240 \\\text { Net Fixed Assets } & 210 & \text { Net Fixed Assets } & \underline{210} \\\text { Total Assets } & \$ 280 & \text { Total Assets } & \$ 450\end{array}\end{array}$ $\begin{array}{llll}\text { Accounts Payable } & \$ 20 & \text { Accounts Payable } & \$ 70 \\\text { Long-term Bonds Pay. } & 120 & \text { Long-term Bonds Pay. } & 150 \\\text { Stockholders' Equity } & 140 & \text { Stockholders' Equity } & 230 \\ \text { Total Liab. \& Equity } & \$ 280 & \text { Total Liab. \& Equity } & \$ 450\end{array}$ On January 1,2X13,Tallton Company acquired 100% of the outstanding common stock of Handel Company for $140 in cash.Assume the book value of Handel's assets and liabilities equals the market value.
What elimination journal entry will be necessary in order to prepare a consolidated balance sheet immediately after the acquisition?

A) $\begin{array}{lcc}\text { Cash } & 140 & \\\quad \text { Investment in Handel Company } & & 140 \\\end{array}$

B) $\begin{array}{lccc}\text { Investment in Handel Company } & 140 & \\\quad \text { Stockholders' Equity, Handel } & & 140 \\\end{array}$

C) $\begin{array}{lccc}\text { Stockholders' Equity, Handel } & 140\\\quad \text { Cash }&& 140\\\end{array}$

D) $\begin{array}{lccc}\text { Stockholders' Equity, Handel } & 140 & \\\quad \text { Investment in Handel Company } & & 140\end{array}$
E) No journal entry is necessary.