A parent company acquired all of the voting stock of its subsidiary on January 1, 2022 at a cost of $250,000, when the subsidiary's book value was $80,000, consisting of $1,000 capital stock and $79,000 retained earnings. The excess of acquisition cost over book value was attributed to previously unreported identifiable intangible assets (10-year life, straight-line) of $50,000, and goodwill, which is not impaired. The parent sells merchandise to its subsidiary on a regular basis. During 2024, the subsidiary recorded total intercompany purchases of $180,000. Its beginning inventory included a markup of $6,500 and its ending inventory included a markup of $10,000. The subsidiary's book value at the beginning of 2024 was $102,000, consisting of $1,000 capital stock and $101,000 retained earnings. The subsidiary reports net income of $17,000 for 2024 and declares no dividends. The parent uses the complete equity method to report its investment in the subsidiary on its own books. Required a. b. Compute equity in net income for 2024, and the December 31, 2024 balance for the parent's investment in its subsidiary, as reported on the parent's books. Prepare eliminating entries (C), (I), (E), (R) and (O) to consolidate the trial balances of the parent and its subsidiary at December 31, 2024