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. Total goodwill: Goodwill to Packer (controlling interest): Goodwill to non-controlling interests: 8,200,000 6,970,000 x 1,230,000 x 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. Note: Use negative signs with answers that reduce net income amounts. Total Equity in NL Noncontrolling Slattery's reported net loss (100,000) (85,000) Interest in NL (15,000) Revaluation write-off: Property (1,500,000) x (1,275,000) x (1,600,000) x (1,360,000) x (225,000) x (240,000) x 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. (C) Equity in net loss of Slattery Investment in Slattery To eliminate current year's equity method entries Debit Credit 100,000 0 x 0 100,000 x (E) Capital stock Developed technology Retained deficit, 1/1 Noncontrolling interest in Slattery To eliminate the subsidiary's equity accounts 2,000,000 0 5,000,000 0 x 2,500,000 0 x 0 9,500,000 x (R) Developed technology Property Depreciation expense Equity in net loss of Slattery Goodwill To revalue subsidiary's assets and liabilities to fair value (O) Developed technology Property To write off the revaluations for the current year (N) Equity in net loss of Slattery Noncontrolling interest in net loss To recognize noncontrolling interest in net income 5,000,000 0 1,500,000 0 x 225,000 0x 0 100,000 x 0 6,625,000 x 5,000,000 0 x 0 5,000,000 x 100,000 0 0 % 100,000 x d. At what amount is the noncontrolling interest in Slattery reported on the December 31, 2023, consolidated balance sheet? $ 1,200,000