Following are the individual financial statements for Gibson and Davis for the year ending December $31,2021$:

Gibson Davis

Sales $ $(643,000)$ $ $(397,500)$

Cost of goods sold $321,000198,000$

Operating expenses $180,00075,500$

Dividend income $(24,000)0$

Net income $ $(166,000)$ $ $(124,000)$

Retained earnings, $1/1/21$ $ $(748,000)$ $ $(405,000)$

Net income $(166,000)(124,000)$

Dividends declared $70,00040,000$

Retained earnings, $12/31/21$ $ $(844,000)$ $ $(489,000)$

Cash and receivables $ $254,400$ $ $149,000$

Inventory $550,000230,000$

Investment in Davis $531,6000$

Buildings $($net$)525,000612,000$

Equipment $($net$)495,000412,000$

Total assets $ $2,356,000$ $ $1,403,000$

Liabilities $ $(882,000)$ $ $(574,000)$

Common stock $(630,000)(340,000)$

Retained earnings, $12/31/21(844,000)(489,000)$

Total liabilities and stockholders' equity $ $(2,356,000)$ $ $(1,403,000)$

Gibson acquired $60$ percent of Davis on April $1,2021,$ for $$531,600.$ On that date, equipment owned by Davis $($with a five$-$year remaining life$)$ was overvalued by $$75,000.$ Also on that date, the fair value of the $40$ percent noncontrolling interest was $$354,400.$ Davis earned income evenly during the year but declared the $$40,000$ 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 $31,2021$:

Goodwill

Equipment $($net$)$

Common stock

Buildings $($net$)$

Dividends declared