Inventory Transfer between Parent and Subsidiary Karlow Corporation owns 60 percent of Draw Company's voting shares. During 20X3, Karlow produced 25,000 computer desks at a cost of $82 each and sold 10,000 of them to Draw for $94 each. Draw sold 7,000 of the desks to unaffiliated companies for $130 each prior to December 31, 20X3, and sold the remainder in early 20X4 for $140 each. Both companies use perpetual inventory systems. Required

a. What amounts of cost of goods sold did Karlow and Draw record in 20X3?

b. What amount of cost of goods sold must be reported in the consolidated income statement for 20X3?

c. Give the worksheet consolidation entry or entries needed in preparing consolidated financial statements at December 31, 20X3, relating to the intercorporate sale of inventory.

d. Give the worksheet consolidation entry or entries needed in preparing consolidated financial statements at December 31, 20X4, relating to the intercorporate sale of inventory.

e. Give the worksheet consolidation entry or entries needed in preparing consolidated financial statements at December 31, 20X4, relating to the intercorporate sale of inventory if the sales were upstream. Assume that Draw produced the computer desks at a cost of $82 each and sold 10,000 desks to Karlow for $94 each in 20X3, with Karlow selling 7,000 desks to unaffiliated companies in 20X3 and the remaining 3,000 in 20X4.

I understand the first two parts (a & b) but am confused with c - e.