House Corporation has been operating profitably since its creation in 1960. At the beginning of 2019, House acquired a 70 percent ownership in Wilson Company. At the acquisition date, House prepared the following fair-value allocation schedule:

Consideration transferred for 70% interest in Wilson					$	889,000
Fair value of the 30% noncontrolling interest						381,000
Wilson business fair value					$	1,270,000
Wilson book value						876,000
Excess fair value over book value					$	394,000
Assignments to adjust Wilsons assets to fair value:
To buildings (20-year remaining life)	$	152,000
To equipment (4-year remaining life)		(31,200	)
To franchises (10-year remaining life)		54,000				174,800
To goodwill (indefinite life)					$	219,200

House regularly buys inventory from Wilson at a markup of 25 percent more than cost. House's purchases during 2019 and 2020 and related ending inventory balances follow:

Year	Intra-Entity Purchases	Remaining Intra-Entity Inventory End of Year (at transfer price)
2019	$90,000	$30,000
2020	125,000	50,000

On January 1, 2021, House and Wilson acted together as co-acquirers of 80 percent of Cuddy Company's outstanding common stock. The total price of these shares was $252,800, indicating neither goodwill nor other specific fair-value allocations. Each company put up one-half of the consideration transferred. During 2021, House acquired additional inventory from Wilson at a price of $243,000. Of this merchandise, 45 percent is still held at year-end. Following are the financial records for the three companies for 2021.

	House Corporation				Wilson Company				Cuddy Company
Sales and other revenues	$	(974,944	)		$	(841,980	)		$	(322,400	)
Cost of goods sold		620,000				329,000				148,000
Operating expenses		241,000				286,500				98,100
Income of Wilson Company		(158,536	)			0				0
Income of Cuddy Company		(30,520	)			(30,520	)			0
Net income	$	(303,000	)		$	(257,000	)		$	(76,300	)
Retained earnings, 1/1/21	$	(837,000	)		$	(682,000	)		$	(166,000	)
Net income (above)		(303,000	)			(257,000	)			(76,300	)
Dividends declared		100,000				96,000				60,000
Retained earnings, 12/31/21	$	(1,040,000	)		$	(843,000	)		$	(182,300	)
Cash and receivables	$	34,994			$	206,080			$	81,750
Inventory		409,550				570,000				108,950
Investment in Wilson Company		1,061,536				0				0
Investment in Cuddy Company		132,920				132,920				0
Buildings		387,000				369,000				142,000
Equipment		313,000				143,000				90,000
Land		241,000				302,000				20,600
Total assets	$	2,580,000			$	1,723,000			$	443,300
Liabilities	$	(720,000	)		$	(570,000	)		$	(111,000	)
Common stock		(820,000	)			(310,000	)			(150,000	)
Retained earnings, 12/31/21		(1,040,000	)			(843,000	)			(182,300	)
Total liabilities and equities	$	(2,580,000	)		$	(1,723,000	)		$	(443,300	)

Note: Parentheses indicate a credit balance.

Prepare a consolidation worksheet for 2021. The partial equity method based on separate company incomes has been applied to each investment. (For accounts where multiple consolidation entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet. Input all amounts as positive values.)

Noncontrolling Consolidated Interest Balance 0 HOUSE CORPORATION AND CONSOLIDATED SUBSIDIARIES Consolidation Worksheet December 31, 2021 Consolidation Entries House Wilson Cuddy Accounts Debit Corporation Credit Company Company Sales and other revenue 974,944 841,980 322,400 Cost of goods sold 620,000 329,000 148,000 Operating expenses 241,000 286.500 98,100 Income of Wilson Company 158,536 Income of Cuddy Company 30,520 30,520 Net income 303,000 257,000 76,300 Consolidated net income Net income attributable to noncontrolling interest (Wilson) Net income attributable to noncontrolling interest (Cuddy) Net income attributable to House Corporation Retained earnings, 1/1/21: House Corporation 837,000 Wilson Company 682,000 Cuddy Company 166,000 Net income 303,000 257,000 76,300 Dividends declared House Corporation 100,000 Wilson Company 96.000 Cuddy Company 60,000 0 * . 303,000 257,000 76,300 100,000 96.000 60,000 182,300 0 1,040,000 34,994 843,000 206.080 81,750 108,950 570,000 Net income Dividends declared House Corporation Wilson Company Cuddy Company Retained earnings, 12/31/21 Cash and receivables Inventory Investment in Wilson Company Investment in Cuddy Company Buildings Equipment Land Goodwill Franchise contracts Total assets Liabilities Noncontrolling interest in Cuddy Noncontrolling interest in Wilson Noncontrolling interest in subsidiary companies Common stock Retained earnings Total liabilities and equities 409,550 1,061,536 132,920 387,000 313,000 241,000 142.000 132.920 369,000 143,000 302,000 90,000 20,600 2,580,000 443,300 0 1,723,000 570,000 720,000 111,000 0 820.000 1,040,000 2,580,000 310,000 843,000 1,723,000 150,000 182,300 443,300 0 0 0 Noncontrolling Consolidated Interest Balance 0 HOUSE CORPORATION AND CONSOLIDATED SUBSIDIARIES Consolidation Worksheet December 31, 2021 Consolidation Entries House Wilson Cuddy Accounts Debit Corporation Credit Company Company Sales and other revenue 974,944 841,980 322,400 Cost of goods sold 620,000 329,000 148,000 Operating expenses 241,000 286.500 98,100 Income of Wilson Company 158,536 Income of Cuddy Company 30,520 30,520 Net income 303,000 257,000 76,300 Consolidated net income Net income attributable to noncontrolling interest (Wilson) Net income attributable to noncontrolling interest (Cuddy) Net income attributable to House Corporation Retained earnings, 1/1/21: House Corporation 837,000 Wilson Company 682,000 Cuddy Company 166,000 Net income 303,000 257,000 76,300 Dividends declared House Corporation 100,000 Wilson Company 96.000 Cuddy Company 60,000 0 * . 303,000 257,000 76,300 100,000 96.000 60,000 182,300 0 1,040,000 34,994 843,000 206.080 81,750 108,950 570,000 Net income Dividends declared House Corporation Wilson Company Cuddy Company Retained earnings, 12/31/21 Cash and receivables Inventory Investment in Wilson Company Investment in Cuddy Company Buildings Equipment Land Goodwill Franchise contracts Total assets Liabilities Noncontrolling interest in Cuddy Noncontrolling interest in Wilson Noncontrolling interest in subsidiary companies Common stock Retained earnings Total liabilities and equities 409,550 1,061,536 132,920 387,000 313,000 241,000 142.000 132.920 369,000 143,000 302,000 90,000 20,600 2,580,000 443,300 0 1,723,000 570,000 720,000 111,000 0 820.000 1,040,000 2,580,000 310,000 843,000 1,723,000 150,000 182,300 443,300 0 0 0