Bass Company purchased 60 percent of the voting shares of Cooper Company for \(\$ 260,000\) on January 1. 20X2. Cooper Company reported total stockholders' equity of \(\$ 400.000\) at the time of acquisition. The purchase differential is assigned to patents with an expected economic life of 10 years from the date of combination.

During 20X5. Bass Company purchased inventory for \(\$ 20.000\) and sold the full amount to Cooper Company for \(\$ 30,000\). On December 31, 20X5. Cooper's ending inventory included \(\$ 6,000\) of items purchased from Bass Company. Also in 20X5. Cooper Company purchased inventory for \(\$ 50,000\) and sold the units to Bass Company for \(\$ 80.000\). Bass included \(\$ 20,000\) of its purchase from Cooper in ending inventory on December 31, 20X5.

Summary income statement data for the two companies revealed the following:

\section*{Required}

a. Compute the amount to be reported as sales in the \(20 \times 5\) consolidated income statement.

b. Compute the amount to be reported as cost of goods sold in the \(20 \mathrm{X} 5\) consolidated income statement.

c. What amount of income will be assigned to the noncontrolling shareholders in the \(20 \times 5\) consolidated income statement?

d. What amount of consolidated net income will be reported for 20X5?

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Bass Company Cooper Company $ 200,000 Sales Income from Subsidiary Cost of Goods Sold Other Expenses Total Expenses Net Income $ 400.000 25.000 $425.000 $ 250.000 70.000 $(320.000) $ 105.000 $ 200,000 $ 120.000 35,000 $(155,000) $ 45.000