Anderson acquired a 60 percent interest in Melody on January 1, 2020, in exchange for various considerations totaling $750,000. At the acquisition date, the fair value of the noncontrolling interest was $500,000 and Melody's book value was $1,000,000. Melody had developed internally a customer list that was not recorded on its books but had an acquisition-date fair value of $250,000. This intangible asset is being amortized over 20 years. Anderson uses the equity method to account for its investment in Melody. Melody reported net income of $275,000 for 2020 and paid dividend of $40,000 during 2020. Melody regularly transfers inventory to Anderson at a 25 percent gross profit rate. Anderson consistently resold this merchandise in the year of acquisition or in the period immediately following. Transfers for the two years after this business combination were the following: Year Transfer Price Inventory Remaining at year end (at transfer price ) $36,000 2020 $200,000 2021 $240,000 $56,000 Anderson had sold a building on January 2, 2021, with a $140,000 book value (cost of $290,000) to Melody for $250,000. Building had a 10-year remaining life at the date of transfer. The following selected account balances are from the individual financial records of these two companies as of December 31, 2021: Sales COGS Operating expense Inventory Anderson $950,000 650,000 140,000 540,000 Melody $750,000 450,000 30,000 450,000 Answer the following question: 1) What was the balance of Investment in Melody on Anderson's book as of December 31, 2020? 2) What is the amount of equity in Melody Earnings for YEAR 2021? 3) What is the amount of noncontrolling interest net income for 2021? 4) Determine the consolidated total of sales for 2021? 5) Determine the consolidated total of cost of good sold for 2021. 6) Determine the consolidated total of operating expense for 2021. 7) Determine the consolidated total of inventory as of December 31,2021. 8) Determine the consolidated total of building as of December 31,2021. Anderson acquired a 60 percent interest in Melody on January 1, 2020, in exchange for various considerations totaling $750,000. At the acquisition date, the fair value of the noncontrolling interest was $500,000 and Melody's book value was $1,000,000. Melody had developed internally a customer list that was not recorded on its books but had an acquisition-date fair value of $250,000. This intangible asset is being amortized over 20 years. Anderson uses the equity method to account for its investment in Melody. Melody reported net income of $275,000 for 2020 and paid dividend of $40,000 during 2020. Melody regularly transfers inventory to Anderson at a 25 percent gross profit rate. Anderson consistently resold this merchandise in the year of acquisition or in the period immediately following. Transfers for the two years after this business combination were the following: Year Transfer Price Inventory Remaining at year end (at transfer price ) $36,000 2020 $200,000 2021 $240,000 $56,000 Anderson had sold a building on January 2, 2021, with a $140,000 book value (cost of $290,000) to Melody for $250,000. Building had a 10-year remaining life at the date of transfer. The following selected account balances are from the individual financial records of these two companies as of December 31, 2021: Sales COGS Operating expense Inventory Anderson $950,000 650,000 140,000 540,000 Melody $750,000 450,000 30,000 450,000 Answer the following question: 1) What was the balance of Investment in Melody on Anderson's book as of December 31, 2020? 2) What is the amount of equity in Melody Earnings for YEAR 2021? 3) What is the amount of noncontrolling interest net income for 2021? 4) Determine the consolidated total of sales for 2021? 5) Determine the consolidated total of cost of good sold for 2021. 6) Determine the consolidated total of operating expense for 2021. 7) Determine the consolidated total of inventory as of December 31,2021. 8) Determine the consolidated total of building as of December 31,2021