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Consolidation Eliminating Entries, First Year Packer Corporation buys 8 5 percent of the voting stock of Slattery inc. on January 1 , 2 0 2

Consolidation Eliminating Entries, First Year Packer Corporation buys 85 percent of the voting stock of Slattery inc. on January 1,2023, at an acquisition cost of \(\$ 10,000,000\), The fair value of the noncontrolling interest at the date of acquisition is \(\$ 1,200,000\). Slattery's equity at the date of acquisition consists of \(\$ 2,000,000\) in capital stock and a retained deficit of \(\$ 2,500,000\). The book values of Slattery's reported net assets approximate fair value, except for property with a 20-year remaining life that is overvalued by \(\$ 1,500,000\). Slattery also has \(\$ 5,000,000\) in indefinite-lived unreported developed technology. Slattery reports a net loss of \(\$ 100,000\) for 2023. The developed technology and goodwill related to this acquisition are unimpaired in 2023. Packer uses the complete equity method to account for its investment in Slattery on its own books. a. Calculate the goodwill reported for this acquisition, and its allocation to Packer and to the noncontrolling interest in Slattery. b. Calculate equity in net loss for 2023, reported by Slattery, and the noncontrolling interest in Slattery's net loss for 2023, reported on the consolidated income statement.c. Prepare eliminating entries \((C),(E),(R),(O)\), and (N) necessary to consolidate the separate trial balances of Packer and Slattery at December \(31,2023\). d. At what amount is the noncontrolling interest in Slattery reported on the December 31,2023, consolidated balance sheet?

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