Item7\ 10\ points\ eBookReferencesCheck my workCheck My Work button is now enabled5Item 7\ Exercise 6-11 (Algo) Computation of Consolidated Income Statement Data LO 6-3, 6-4\ Player Company acquired 70 percent ownership of Scout Companys voting shares on January 1, 20X2. During 20X5, Player purchased inventory for $25,000 and sold the full amount to Scout Company for $35,000. On December 31, 20X5, Scouts ending inventory included $7,000 of items purchased from Player. Also in 20X5, Scout purchased inventory for $60,000 and sold the units to Player for $90,000. Player included $22,500 of its purchase from Scout in ending inventory on December 31, 20X5.\ \ Summary income statement data for the two companies revealed the following:\ \ Player Company Scout Company\ Sales $ 368,650 $ 200,000\ Income from Scout 36,850 \ $ 405,500 $ 200,000\ Cost of Goods Sold $ 234,000 $ 106,000\ Other Expenses 56,000 31,000\ Total Expenses $ (290,000) $ (137,000)\ Net Income $ 115,500 $ 63,000