Following are the individual financial statements for Gibson and Davis for the year ending December 31, 2018: $ Davis (499,000) 236,000 64,000 $ $ 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 Gibson $ (742,000) 327,000 247,000 (12,000) $ (180,000) $ (798,000) (180,000) 70,000 $ (908,000) 211,950 545,000 622,050 617,000 402,000 $ 2,398,000 $ (860,000) (630,000) (908,000) (199,000) (481,000) (199,000) 20,000 (660,000) 85,000 276,000 $ $ 679,000 486,000 $ 1,526,000 $ (526,000) (340,000) (660,000) $(2,398,000) $ (1,526, 000) Gibson acquired 60 percent of Davis on April 1, 2018, for $622,050. On that date, equipment owned by Davis (with a five-year remaining life) was overvalued by $54,000. Also on that date, the fair value of the 40 percent noncontrolling interest was $414,700. 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, 201 Consolidated Income Statement For the Year Ending December 31, 2018 Required B Required A Rectired B Determine the consolidated balance for each of th Goodwill Equipment (net) Common stock Buildings (net) Dividends declared Requir