Kontico Corporation acquired an 80% interest in Sonnata Corporation several years ago when the BV and FV of Sonnata's assets and liabilities were equal (i.e. the cost of the 80% interest was equal to 80% of the book value of Sonnata's net assets). Separate company income statements for the year ended December 31, 2011 are shown below: Kontico Sonnata Sales Revenue 2,400,000 1,440,000 Investment income from Sonnata 204,000 Cost of Goods Sold (1,440,000) (720,000) Expenses (480,000) (480,000) Net Income 684.000 240.000 During 2010, Kontico sold merchandise that cost $288,000 to Sonnata for $432,000. Half of this merchandise remained in Sonnata's inventory at December 31, 2010. During 2011, Kontico sold merchandise that cost $360,000 to Sonnata for $540,000. One-third of this merchandise remained in Sonnata's December 31, 2011 inventory Required: Prepare a consolidated Cost of Goods Sold Statement for Kontico Corporation and Subsidiary for 2011: Note: The following template is included as a guide to assist you in formulating your answer Consolidated cost of goods sold computation: Combined cost of sales Less: Intercompany sales Less: Unrealized profit in beginning inventory MOME Add: Unrealized profit in ending inventory = Consolidated Cost of Goods Sold