Assume that, on January 1, 2015, Jensen Company acquired a 90% interest in Saunders Company for a purchase price that was $450,000 over the book value of the subsidiarys Stockholders Equity on the acquisition date. Jensen uses the equity method to account for its investment in Saunders. Jensen assigned the acquisition-date AAP as follows: AAP Items Initial Fair Value Useful Life (years) PPE $200,000 20 Patent 60,000 10 Customer List 40,000 10 Goodwill 150,000 Indefinite $450,000 90% of if the Goodwill is allocated to the parent. Jensen and Saunders report the following financial statements December 31, 2018: Income Statement Jensen Saunders Sales $7,530,000 $1,913,000 Cost of goods sold (4,854,000) (843,300) Gross Profit 2,676,000 1,069,800 Income (loss) from subsidiary 523,620 Operating expenses (1,618,800) (467,900) Net income $1,580,820 $ 601,800 Statement of Retained Earnings Jensen Saunders BOY Retained Earnings $ 8,784,400 $3,038,500 Net income 1,580,820 601,800 Dividends (190,050) (38,600) Ending Retained Earnings $10,175,170 $3,601,700 Balance Sheet Jensen Saunders Assets: Cash $ 880,200 $ 662,600 Accounts receivable 1,080,500 897,300 Inventory 1,652,800 972,500 Equity Investment 3,838,770 PPE, net 6,610,600 2,553,100 $14,062,870 $5,085,500 Liabilities and Stockholders Equity: Current Liabilities $ 699,300 $ 400,200 Long-term Liabilities 1,509,600 790,000 Common Stock 603,200 118,100 APIC 1,075,600 175,500 Retained Earnings 10,175,170 3,601,700 $14,062,870 $5,085,500 Required: Compute the EOY noncontrolling interest equity balance. Prepare the consolidation journal entries.