*Goodwill was not impaired in 2021 and 2022; however, Goodwill was impaired by \$240 million in 2023. Required a. Calculate equity in net income of First Telecom, reported on AT\&T's 2023 income statement. b. Complete the working paper and present the December 31, 2023, consolidated balance sheet and the consolidated income statement for 2023, in good form. Note: Enter all numbers in millions. Note: Use negative signs for credit balances in the books and consolidated columns, on the consolidated balance sheet, and for amounts that are subtracted in income statement subtotals. \begin{tabular}{|c|c|c|c|c|c|c|c|} \hline \multirow{2}{*}{ConsolidationWorkingPaper(inmillions)} & \multicolumn{2}{|c|}{AccountsTakenFromBooksDr(Cr)First} & & \multicolumn{2}{|c|}{ Eliminations } & & \multirow{2}{*}{ConsolidatedBalancesDr(Cr)} \\ \hline & AT\&T & Telecom & & Dr & Cr & & \\ \hline Cash and receivables & $2,880 & $1,080 & & & & & $ \\ \hline Inventories & 17,280 & 2,400 & & & & & \\ \hline Property, plant and equipment, net & 93,264 & 10,896 & & & & & \\ \hline \multirow[t]{3}{*}{ Investment in First Telecom } & 3,792 & 0 & & & & (C) & \\ \hline & & & & & & (E) & \\ \hline & & & & & & (R) & \\ \hline Lease agreements & 0 & 0 & & & & & \\ \hline Goodwill & 0 & 0 & & & & & \\ \hline Accounts payable & (18,720) & (1,608) & & & & & \\ \hline Long-term debt & (84,000) & (10,320) & & & & & \\ \hline Common stock, par & (288) & (24) & & & & & \\ \hline Additional paid-in capital & (7,200) & (312) & & & & & \\ \hline Retained Earnings, Jan. 1 & (6,120) & (1,680) & & & & & \\ \hline Treasury stock & 0 & 120 & & & & & \\ \hline Dividends & 240 & 48 & & & & & \\ \hline Sales revenue & (24,000) & (4,800) & & & & & \\ \hline Equity in net income of First Telecom & (288) & 0 & & & & & \\ \hline Cost of goods sold & 20,400 & 3,840 & & & & & \\ \hline \multirow[t]{2}{*}{ Operating expenses } & 2,760 & 360 & (01) & & & & \\ \hline & - & & (O2) & & & & \\ \hline Totals & $0 & $0 & & $ & $ & & $ \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline AT&TandFIRSTTELECConsolidatedIncomeStaFortheYearEndedDecember31, & COMItemen2023(in & & \\ \hline Sales revenue & $ & & \\ \hline Less: Cost of goods sold & & & \\ \hline Gross profit & & & \\ \hline Less: Operating expenses & & & \\ \hline Net Income & $ & & \\ \hline & AT&1ConsoDecemb & FIRSTTELECOMdBalanceSheet2023(inmillions) & \\ \hline Assets & & Liabilities and Shareholders' Equity & \\ \hline Current assets & $ & Accounts payable & $ \\ \hline Cash and receivables & & Long-term debt & \\ \hline Total current assets & & Total liabilities & \\ \hline & & Shareholder's equity & \\ \hline Noncurrent assets & & Common stock, par & \\ \hline Property, plant and equipment, net & & Additional paid-in capital & \\ \hline Goodwill & & Retained earnings & \\ \hline Total noncurrent assets & & Total shareholders' equity & \\ \hline Total assets & $ & Total liabilities and shareholders' equity & $ \\ \hline \end{tabular} *Goodwill was not impaired in 2021 and 2022; however, Goodwill was impaired by \$240 million in 2023. Required a. Calculate equity in net income of First Telecom, reported on AT\&T's 2023 income statement. b. Complete the working paper and present the December 31, 2023, consolidated balance sheet and the consolidated income statement for 2023, in good form. Note: Enter all numbers in millions. Note: Use negative signs for credit balances in the books and consolidated columns, on the consolidated balance sheet, and for amounts that are subtracted in income statement subtotals. \begin{tabular}{|c|c|c|c|c|c|c|c|} \hline \multirow{2}{*}{ConsolidationWorkingPaper(inmillions)} & \multicolumn{2}{|c|}{AccountsTakenFromBooksDr(Cr)First} & & \multicolumn{2}{|c|}{ Eliminations } & & \multirow{2}{*}{ConsolidatedBalancesDr(Cr)} \\ \hline & AT\&T & Telecom & & Dr & Cr & & \\ \hline Cash and receivables & $2,880 & $1,080 & & & & & $ \\ \hline Inventories & 17,280 & 2,400 & & & & & \\ \hline Property, plant and equipment, net & 93,264 & 10,896 & & & & & \\ \hline \multirow[t]{3}{*}{ Investment in First Telecom } & 3,792 & 0 & & & & (C) & \\ \hline & & & & & & (E) & \\ \hline & & & & & & (R) & \\ \hline Lease agreements & 0 & 0 & & & & & \\ \hline Goodwill & 0 & 0 & & & & & \\ \hline Accounts payable & (18,720) & (1,608) & & & & & \\ \hline Long-term debt & (84,000) & (10,320) & & & & & \\ \hline Common stock, par & (288) & (24) & & & & & \\ \hline Additional paid-in capital & (7,200) & (312) & & & & & \\ \hline Retained Earnings, Jan. 1 & (6,120) & (1,680) & & & & & \\ \hline Treasury stock & 0 & 120 & & & & & \\ \hline Dividends & 240 & 48 & & & & & \\ \hline Sales revenue & (24,000) & (4,800) & & & & & \\ \hline Equity in net income of First Telecom & (288) & 0 & & & & & \\ \hline Cost of goods sold & 20,400 & 3,840 & & & & & \\ \hline \multirow[t]{2}{*}{ Operating expenses } & 2,760 & 360 & (01) & & & & \\ \hline & - & & (O2) & & & & \\ \hline Totals & $0 & $0 & & $ & $ & & $ \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline AT&TandFIRSTTELECConsolidatedIncomeStaFortheYearEndedDecember31, & COMItemen2023(in & & \\ \hline Sales revenue & $ & & \\ \hline Less: Cost of goods sold & & & \\ \hline Gross profit & & & \\ \hline Less: Operating expenses & & & \\ \hline Net Income & $ & & \\ \hline & AT&1ConsoDecemb & FIRSTTELECOMdBalanceSheet2023(inmillions) & \\ \hline Assets & & Liabilities and Shareholders' Equity & \\ \hline Current assets & $ & Accounts payable & $ \\ \hline Cash and receivables & & Long-term debt & \\ \hline Total current assets & & Total liabilities & \\ \hline & & Shareholder's equity & \\ \hline Noncurrent assets & & Common stock, par & \\ \hline Property, plant and equipment, net & & Additional paid-in capital & \\ \hline Goodwill & & Retained earnings & \\ \hline Total noncurrent assets & & Total shareholders' equity & \\ \hline Total assets & $ & Total liabilities and shareholders' equity & $ \\ \hline \end{tabular}