Assume the following information: The purchase price for the subsidiary included an AAP asset relating to a Patent that the parent estimated was worth BRL300,000 more than its book value on the subsidiary's balance sheet. The Patent is being amortized at the rate of BRL30,000 per year and the BOY book value of the Patent is BRL270,000. 1. Compute the balance of the Equity Investment account of $1,593,111 on the parent's balance sheet. Use a negative sign with answers that reduce the equity investment balance. BOY Common stock BOY APIC BOY Retained earnings BOY Unamortized AAP BOY Cumulative translation adjustment Equity income Dividends Translation adjustment Other comprehensive income Equity investment balance $1,593,111 2. Compute the equity income of $219,780 reported by the parent in its income statement. Use a negative sign with your answer, if it reduces the income. Net income AAP amortization Equity income d. Using your translated subsidiary financial statements from Part a and the parent's financial data provided in Part c, prepare the consolidation spreadsheet for the year. Use negative signs with your answers in the Consolidated column for: Cost of goods sold, Operating expenses and Dividends. Parent Subsidiary Debit Credit Consolidated $30,310,000 $ (21,217,000) 9,093,000 219,780 (5,758,900) $3,553,880 $ Income statement Sales Cost of goods sold Gross profit Equity income Operating expenses Net income Statement of retained earnings BOY retained earnings Net income Dividends Ending retained earnings Statement of accum. comp. income: BOY cumulative translation adjustment Current-year translation gain (loss) EOY cumulative translation adjustment Balance sheet Assets Cash Accounts receivable Inventory Equity investment $23,940,718 3,553,880 (957,628) $26,536,970 $248,062 404,090 $652,152 $ $7,297,685 $ 3,879,680 5,880,140 1,593,111 Property, plant, and equipment, net 31,316,292 $49,966,908 $ Liabilities and stockholders' equity Current liabilities Long-term liabilities Common stock APIC Retained earnings Cumulative translation adjustment $2,427,831 $ 8,750,000 2,053,580 9,546,376 26,536,970 652,152 $49,966,908 $