Gibson acquired 60 percent of Davis on April 1, 2021, for $603,900. On that date, equipment owned by Davis (with a five-year remaining life) was overvalued by $84,000. Also on that date, the fair value of the 40 percent noncontrolling interest was $402,600. Davis earned income evenly during the year but declared the $40,000 dividend on November 1, 2021.

ter 4 Homework i Saved Help B Problem 4-42 (Algo) (LO 4-1, 4-4, 4-8) Following are the individual financial statements for Gibson and Davis for the year ending December 31, 2021: ok 3 Goodwill Equipment (net) Common stock Buildings (net) Dividends declared > Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required B Prepare consolidated income statement for the year ending December 31, 2021. (Enter all amounts as positive values.) $ 1,199,500 Consolidated Income Statement For the Year Ending December 31, 2021 Revenues Cost of goods sold $ 545,250 Operating expenses 316,150 Consolidated net income Noncontrolling interest in CNI Controlling interest in CNI 861,400 OOOOOO 338,100 0X 338,100 Required B