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

	Gibson				Davis
Sales	$	(666,000	)		$	(398,000	)
Cost of goods sold		308,000				177,000
Operating expenses		181,000				61,000
Dividend income		(18,000	)			0
Net income	$	(195,000	)		$	(160,000	)
Retained earnings, 1/1/21	$	(760,000	)		$	(415,000	)
Net income		(195,000	)			(160,000	)
Dividends declared		70,000				30,000
Retained earnings, 12/31/21	$	(885,000	)		$	(545,000	)
Cash and receivables	$	306,200			$	148,000
Inventory		512,000				113,000
Investment in Davis		583,800				0
Buildings (net)		545,000				632,000
Equipment (net)		455,000				496,000
Total assets	$	2,402,000			$	1,389,000
Liabilities	$	(887,000	)		$	(504,000	)
Common stock		(630,000	)			(340,000	)
Retained earnings, 12/31/21		(885,000	)			(545,000	)
Total liabilities and stockholders' equity	$	(2,402,000	)		$	(1,389,000	)

Gibson acquired 60 percent of Davis on April 1, 2021, for $583,800. On that date, equipment owned by Davis (with a five-year remaining life) was overvalued by $60,000. Also on that date, the fair value of the 40 percent non-controlling interest was $389,200. Davis earned income evenly during the year but declared the $30,000 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