Giant acquired all of Small's common stock on January 1, 2017, in exchange for cash of $770,000. On that day, Small reported common stock of $170,000 and retained earnings of $400,000. At the acquisition date, $53,000 of the fair-value price was attributed to undervalued land while $74,000 was assigned to undervalued equipment having a 10-year remaining life. The $73,000 unallocated portion of the acquisition-date excess fair value over book value was viewed as goodwill. Over the next few years, Giant applied the equity method to the recording of this investment. The following are individual financial statements for the year ending December 31, 2021. On that date, Small owes Giant $12,500. Small declared and paid dividends in the same period. Credits are indicated by parentheses. Revenues Cost of goods sold Depreciation expense Equity in income of Small Net income Retained earnings, 1/1/21 Net income (above) Dividends declared Retained earnings, 12/31/21 Current assets Investment in Small Land Buildings (net) Equipment (net) Goodwill Total assets Liabilities Common stock Retained earnings (above) Total liabilities and equities Giant Small $(1,231,900) $ (464,000) 588,000 94,000 215,500 145,000 (217,600 0 $ (646,000) $ (225,000) $(1,330,000) $ (683,000) (646,000) (225,000) 300,000 120,000 $(1,676,000) $ (788,000) $ 152,000 $ 389,000 1,121,000 0 531,000 243,000 393,000 455,000 605,000 303,000 0 0 $ 2,802,000 $ 1,390,000 $ (876,000) $ (432,000) (250,000) (170,000) (1,676,000) (788,000) $12,802,000) $(1,390,000) a. How was the $217,600 Equity in Income of Small balance computed? b. Determine the totals to be reported by this business combination for the year ending December 31, 2021. c. Prepare a consolidation worksheet for Giant and Small for the year ending December 31, 2021. d. If Giant determined that the entire amount of goodwill from its investment in Small was impaired in 2021, what journal entry would Giant make to record such impairment