At the bottom are selected amounts from the separate unconsolidated financial statements of Poe Corp. and its 90%-owned subsidiary, Shaw Co., at December 31, Year 2.

Additional information

• On January 2, Year 2, Poe Corp. purchased 90% of Shaw Co.'s 100,000 outstanding common shares for cash of $155,000. On that date, Shaw's equity accounts equaled $150,000, and the acquisition-date fair values of Shaw's assets and liabilities equaled their carrying amounts.
• Poe recognized goodwill on January 2, Year 2. It determined on December 31, Year 2, that goodwill was not impaired.
• On January 3, Year 2, Shaw sold equipment with an original cost of $30,000 and a carrying amount of $15,000 to Poe for $36,000. The equipment had a remaining life of 3 years and was depreciated using the straight-line method by both companies.
• During Year 2, Shaw sold merchandise to Poe for $60,000, which included a profit of $20,000. At December 31, Year 2, half of this merchandise remained in Poe's inventory.
• On September 4, Year 2, Shaw paid cash dividends of $30,000.
• On December 31, Year 2, Poe paid $91,000 to purchase 50% of the outstanding bonds issued by Shaw. The bonds mature on December 31, Year 8, and were originally issued at their face amount. The bonds pay interest annually on December 31 of each year, and the interest was paid to the prior investor immediately before Poe's purchase of the bonds.
• On December 31, Year 2, Poe recorded its equity in Shaw's earnings.

Select from the option list provided the best description for each account below. Each choice may be used once, more than once, or not at all.

The items may or may not be included in the consolidated financial statements. This list of choices contains descriptions of amounts to be reported in the consolidated financial statements for the year ended December 31, Year 2. Consider all the transactions described above in determining your answers. Ignore income tax considerations.

Bonds Payable

Noncontrolling Interest

Gain on retirement of bonds

Interest Expense

Depreciation Expense

The choices are :

Neither in consolidated nor in separate unconsolidated financial statements

Sum of amounts on Poe's and Shaw's separate unconsolidated financial statements

Same as amount for Shaw only

Same as amount for Poe only

Shown in consolidated financial statements but not in separate unconsolidated financial statements

Eliminated entirely in consolidation

Less than the sum of amounts on Poes and Shaws separate unconsolidated financial statements but not the same as the amount on either.

Selected income statement amounts	Poe	Shaw
Sales	710,000	530,000
Cost of goods sold	490,000	370,000
Gain on sale of equipment		21,000
Earnings from investment in subsidiary	61,000
Interest expense		16,000
Depreciation	25,000	20,000
Selected balance sheet amounts
Cash	50,000	15,000
Inventories	229,000	150,000
Equipment	440,000	360,000
Accumulated depreciation	(200,000)	(120,000)
Investment in Shaw	189,000
Investment in bonds	91,000
Bonds payable		(200,000)
Common stock	(100,000)	(10,000)
Additional paid-in capital	(250,000)	(40,000)
Retained earnings	(402,000)	(140,000)
Selected statement of retained earnings amounts
Beginning balance, December 31, Year 1	272,000	10,000
Net income	210,000	70,000
Dividends paid	80,000	30,000