Final answer:
In the preparation of consolidated financial statements, an elimination entry for land acquired from a subsidiary typically includes a debit to Investment in Subsidiary or Land to remove excess amounts paid over the book value by the parent company.
Step-by-step explanation:
On a work paper prepared to consolidate the financial statements of a parent and a subsidiary in 2014, the elimination entry connected with this land includes a debit to Investment in Subsidiary or Land, depending on the specific details of the transaction. When a parent company buys land from a subsidiary, it may have recorded the investment at an amount that reflects the subsidiary's book value plus any excess amount paid over the book value. Upon consolidation, this excess amount (if any) is eliminated because it does not reflect an economic event from the perspective of the combined entity. The elimination entry would debit the Investment in Subsidiary account (to decrease it) and credit the Land account (to remove the excess over book value recorded by the parent).