4 he Holtz Corporation acquired 80 percent of the 100,000 outstanding voting shares of Devine, Inc., for $7.35 per share on January 1, 2017. The remaining 20 percent of Devine's shares also traded actively at $7.35 per share before and after Holtz's acquisition. An appraisal made on that date determined that all book values appropriately reflected the fair values of Devine's underlying accounts except that a building with a 5-year future life was undervalued by $70,000 and a fully amortized trademark with an estimated 10-year remaining life had a $70,000 fair value. At the acquisition date, Devine reported common stock of $100,000 and a retained earnings 10 polnts alance of $264,000. Following are the separate financial statements for the year ending December 31, 2018 eBook Holtz Devine, Inc. Corporation Sales Cost of goods sold Operating expenses $ (741,000) (371,000) 173,000 96,000 218,000 292,000 16,000 Print idend income Net income s (247,00e) (182,000) (792,000) (334,000) References Retained earnings, 1/1/18 Net income (above) Dividends declared (102,000) 20,000 s (989,000)s(416,000 (247,000) 50,000 Retained earnings, 12/31/18 Current assets Investment in Devine, Inc Buildings and equipment (net) Trademarks $468,0 176,90a 588,0080 842,500 123,000 379,000 233,000 $ 788,000 (712,5ee) (272,000) (100,000) (989,900(416,9e0) $ (2,021,500) (788,000) S 2,021,500 Total assets Liabilities Common stock Retained earnings, 12/31/18 (above) (320,000) Total liabilities and equities At year-end, there were no intra-entity receivables or payables. a. Prepare a worksheet to consolidate these two companies as of December 31, 2018 b. Prepare a 2018 consolidated income statement for Holtz and Devine c. If instead the noncontrolling interest shares of Devine had traded for $5.04 surrounding Holtz's acquisition date, what is the impact on goodwill