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Following are the Individual financial statements for Gibson and Davis for the year ending December 31, 2018: $ $ Davis (397,500) 198,eee 75,5ee $ $
Following are the Individual financial statements for Gibson and Davis for the year ending December 31, 2018: $ $ Davis (397,500) 198,eee 75,5ee $ $ Gibson (643,600) 321,000 180, eee (24,000) (166,000) (748,000) (166, 000) 70.000 (844,00) $ $ (124,000) (485,808) (124,00) 40,000 (489,00) Sales Cost of goods sold Operating expenses Dividend income Net income Retained earnings, 1/1/18 Net income Dividends declared Retained earnings, 12/31/18 Cash and receivables Inventory Investment in Davis Buildings (net) Equipment (net) Total assets Liabilities Common stock Retained earnings, 12/31/18 Total liabilities and stockholders' equity 149,00 230,000 254,400 550,000 531,600 525,000 495,000 2,356,eee (882,000) (630,60e) (844,00) 612, cee 412, 1,403,eee $ $ $ (574,000 (340,000) (489,880) $ (2,356,000) $ (1,403,000) Gibson acquired 60 percent of Davis on April 1, 2018, 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, 2018. a. Prepare a consolidated Income statement for the year ending December 31, 2018 b. Determine the consolidated balance for each of the following accounts as of December 31, 2018: Goodwill Equipment (net) Common stock Buildings (net) Dividends declared Complete this question by entering your answers in the tabs below. Required A Required B Prepare a consolidated income statement for the year ending December 31, 2018. (Enter all amounts as positive values.) Consolidated Income Statement For the Year Ending December 31, 2018 Required A Required B Determine the consolidated balance for each of the following accounts as of December 31, 2018: Goodwill Equipment (net) Common stock Buildings (net) Dividends declared Required A Required B
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