c. Show the detailed calculations arriving at each of the following accounts at December 31, 2022:

i. Consolidated Property, Plant and Equipment, net

ii. Consolidated License Agreement

iii. Consolidated Retained Earnings

d. What is the relationship between Parsleys Net Income and Consolidated Net Income? Why?

PROBLEM 1: Parsley Parent acquired 100% of Sage Subsidiary on January 1, 2018. The purchase price was $370,000 in excess of Sage's book value of Stockholders Equity on the acquisition date. Such excess was assigned to the following assets: Selected accounts from the parent, subsidiary and consolidated financial statements for the year ended December 31,2022 can be found in the accompanying Excel file. Problem 1 Data Consolidated Financial Statements for the Year Ended December 31, 2022 Income Statement: Statement of Retained Earnings: Balance Sheet: Assets: Liabilities and Stockholders' Equity: Accounts Payable \begin{tabular}{|r|} \hline$160,000 \\ 200,000 \\ 1,400,000 \\ 250,000 \\ 900,000 \\ \hline 1,300,000 \\ \hline$4,210,000 \\ \hline \hline \end{tabular} \begin{tabular}{|r|r|} \hline$100,000 & 260,000 \\ \hline 120,000 & 320,000 \\ \hline 160,000 & 1,560,000 \\ \hline 25,000 & 250,000 \\ \hline 130,000 & 900,000 \\ \hline 200,000 \\ \hline \end{tabular}