Check my work The individual financial statements for Gibson Company and Keller Company for the year ending December 31, 2021, follow. Gibson acquired a 60 percent interest in Keller on January 1, 2020, in exchange for various considerations totaling $840,000. At the acquisition date, the fair value of the noncontrolling interest was $560,000 and Keller's book value was $1,120,000. Keller had developed internally a customer list that was not recorded on its books but had an acquisition-date fair value of $280,000. This intangible asset is being amortized over 20 years. Gibson uses the partial equity method to account for its investment in Keller. Gibson sold Keller land with a book value of $90,000 on January 2, 2020, for $190,000. Keller still holds this land at the end of the current year. Keller regularly transfers inventory to Gibson. In 2020, it shipped inventory costing $198,000 to Gibson at a price of $330,000. During 2021, intra-entity shipments totaled $380,000, although the original cost to Keller was only $266,000. In each of these years, 20 percent of the merchandise was not resold to outside parties until the period following the transfer Gibson owes Keller $50.000 at the end of 2021. Keller Sales Cost of goods sold Operating expenses Equity in earnings of Keller Net income Company $ (680,000) 480,000 45,000 Gibson Company $ (980,000) 680,000 170,000 (93, 000) $ (223,000) $(1,296,000) (223,000) 115,000 $(1,404,000) $ 187,000 392,000 570,000 Retained earnings, 1/1/21 Net income (above) Dividends declared $ (155,000) $ (710,000) (155,000) 60,000 $ (805,000) $ Retained earnings, 12/31/21 Cash Accounts receivable Inventory 90,000 590,000 500,000