Balance sheet and income statement data for two affiliated companies for the current year appear below: BALANCE SHEET As at December 31, Year 6 Bach $ Albeniz $ 40,000 92,000 56,000 20,000 200,000 (80,000) 272,000 100,000 $ 700,000 Cash Receivables Inventories Land Plant and equipment Accumulated depreciation Investment in Bach Company (cost) Advances to Bach Company Total assets Accounts payable Advances payable Common shares Retained earnings Total liabilities and shareholders' equity 21,000 84,000 45,000 60,000 700,000 (350,000) $ 130,000 $ 560,000 $ 96,500 100,000 200,000 163,500 $ 560,000 400,000 170,000 $ 700,000 Bach $ 400,000 INCOME STATEMENT For the year ended December 31, Year 6 Albeniz Sales revenues $ 600,000 Interest income 6,700 Dividend income from Bach 6,400 Total revenues $ 613,100 Cost of goods sold 334,000 Distribution expense 20,000 Selling and administrative expense 207,000 Financing expense 1,700 Income taxes expense 20,700 Total expenses $(583,400) Net income $ 29,700 $ 400,000 225,000 70,000 74,000 6,000 7,500 $ (382,500) $ 17,500 Additional Information Albeniz acquired an 80% interest in Bach on January 1, Year 3, for $272,000. On that date, the following information was noted about specific net assets of Bach: Inventory Land Equipment (estimated useful life 15 years) Misc. intangibles (estimated useful life 20 years) Carrying Amount $ 20,000 25,000 60,000 Fair Value $ 50,000 45,000 78,000 42,000 Amortization expense is grouped with distribution expenses. Bach's accumulated depreciation was $240,000 at the date of acquisition. On January 1, Year 3, Bach had a retained earnings balance of $30,000. Albeniz carries its investment at cost. Required: Prepare the following: (a) Consolidated income statement (Input all values as positive numbers.) Required: Prepare the following: (a) Consolidated income statement (Input all values as positive numbers.) Albeniz Company Consolidated Income Statement For the Year Ended December 31, Year 6 Attributable to: Albeniz's shareholders Non-controlling interest (b) Consolidated balance sheet (Negative amounts should be indicated by a minus sign. Leave no cells blank - be certain to enter "O" wherever required.) Albeniz Company Consolidated Balance Sheet As at December 31, Year 6 Assets Liabilities and Equity