Gargiulo Company, a 90% owned subsidiary of Posto Corporation, sells inventory to Posto at a 25% profit on selling price. The following data are available pertaining to intra-entity purchases. Gargiulo was acquired on January 1, 2010. Assume the equity method is used. The following data are available pertaining to Gargiulo's income and dividends. 7. Compute the equity in earnings of Gargiulo reported on Posito's books for 2010. A. $63,000. B. $62,730. C. $63,270. D. $70,000. E. $62,700. 8. Compute the noncontrolling interest in Gargiulo's net income for 2010. A. $6,970. B. $7,000. C. $7,030. D. $6,270. E. $6,230. Gargiulo Company, a 90% owned subsidiary of Posto Corporation, sells inventory to Posto at a 25% profit on selling price. The following data are available pertaining to intra-entity purchases. Gargiulo was acquired on January 1, 2010. Assume the equity method is used. The following data are available pertaining to Gargiulo's income and dividends. 7. Compute the equity in earnings of Gargiulo reported on Posito's books for 2010. A. $63,000. B. $62,730. C. $63,270. D. $70,000. E. $62,700. 8. Compute the noncontrolling interest in Gargiulo's net income for 2010. A. $6,970. B. $7,000. C. $7,030. D. $6,270. E. $6,230