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begin{tabular}{|c|c|c|c|c|} hline & multicolumn{2}{|r|}{ Gibson } & multirow{2}{*}{multicolumn{2}{|c|}{begin{tabular}{l} Davis (498,000) end{tabular}}} hline Sales & $ & (594,000) & & hline Cost of

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\begin{tabular}{|c|c|c|c|c|} \hline & \multicolumn{2}{|r|}{ Gibson } & \multirow{2}{*}{\multicolumn{2}{|c|}{\begin{tabular}{l} Davis \\ (498,000) \end{tabular}}} \\ \hline Sales & $ & (594,000) & & \\ \hline Cost of goods sold & & 307,000 & & 231,000 \\ \hline Operating expenses & & 143,000 & & 73,000 \\ \hline Dividend income & & (18,000) & & \\ \hline Net income & $ & (162,000) & $ & (194,000) \\ \hline Retained earnings, 1/1/21 & $ & (784,000) & $ & (489,000) \\ \hline Net income & & (162,000) & & (194,000) \\ \hline Dividends declared & & 80,000 & & 30,000 \\ \hline Retained earnings, 12/31/21 & $ & (866,000) & $ & (653,000) \\ \hline Cash and receivables & $ & 145,100 & $ & 157,000 \\ \hline Inventory & & 576,000 & & 241,000 \\ \hline Investment in Davis & & 600,900 & & \\ \hline Buildings (net) & & 611,000 & & 606,,000 \\ \hline Equipment (net) & & 438,000 & & 481,000 \\ \hline Total assets & $ & 2,371,000 & $ & 1,485,000 \\ \hline Liabilities & $ & (875,00) & $ & (492,000) \\ \hline Common stock & & (630,000) & & (34,0) \\ \hline Retained earnings, 12/31/21 & & (866,000) & & (653,000) \\ \hline \begin{tabular}{l} Total liabilities and stockholders' \\ equity \end{tabular} & $ & (2,371,000) & $ & (1,485,0) \\ \hline \end{tabular} Gibson acquired 60 percent of Davis on April 1, 2021, for $600,900. On that date, equipment owned by Davis (with a five-year remaining life) was overvalued by $69,000. Also on that date, the fair value of the 40 percent noncontroling interest was $400,600 Davis earned income eventy during the year but dectared the $30,000 dividend on November 1,2021 a. Prepare a consolidated income statement for the year ending December 31, 2021 b. Determine the consolidated balance for each of the following accounts as of December 31, 2021: Prepare a consolidated income statement for the year ending December 31, 2021. (Enter all amou Determine the consolidated balance for each of the following accountshs of December 31

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