Pizza Corporation acquired 75 percent of Slice Corporation’s voting common stock on January 1, 20X4, for $348,000, when the fair value of its net identifiable assets was $464,000 and the fair value of the noncontrolling interest was $116,000. Slice reported common stock outstanding of $150,000 and retained earnings of $270,000. The excess of fair value over book value of Slice’s net assets was attributed to amortizable assets with a remaining life of 10 years. On December 31, 20X4, Slice sold a building to Pizza and recorded a gain of $20,000. Income assigned to the noncontrolling shareholders in the 20X4 consolidated income statement was $17,500.

Required

a. Compute the amount of net income Slice reported for 20X4.

b. Compute the amount reported as consolidated net income if Pizza reported operating income of $234,000 for 20X4.

c. Compute the amount of income assigned to the controlling interest in the 20X4 consolidated income statement.