Listed below are transactions between Parent Corporation and its 75% owned Subsidiary Subsidiary Corporation. The transactions are for the year 2018 2020 (assume FIFO is used for all inventory and straight line depreciation is used on equipment):

2017 Parent sold inventory to Subsidiary. The cost of the inventory to Parent was $60,000. The inventory was sold to Subsidiary for $80,000. Subsidiary had $40,000 worth of this inventory at the end of 2017. All remaining inventory items were sold in 2018.

2018 Subsidiary sold equipment with a four- year useful life to Parent on January 1st for $60,000. The equipment had a book value of $40,000 at the time of sale. The equipment is still in use by Parent at the end of 2013.

2019 - Parent purchased $200,000 par value of Subsidiarys 10% bonds in the bond market for $208,000 on January 1, 2019. These bonds had a book value of $196,000 when acquired by Parent and mature on January 1, 2023.

	2017	2018	2019
separate Income of P	$625,000	$635,000	$618,000
Net Income of S	$205,000	$215,500	$223,250

Required: Compute the controlling interest share of the consolidated net income for each of the years 2017 2019. Use the following worksheet to compute your answer:

Parent Corporation and Subsidiary

Item	2017	2018	2019
Parent's Separate Income	625,000	635,000	618,000
75% of Subsidiary's Net Income
Unrealized Profit in Subsidiarys's December 31, 2017 ending inventory
Unrealized profit in Subsidiary's January 1, 2018 beginning inventory
Unrealized profit on upstream sale of equipment
Piece-meal gain (Depreciation) on unrealized profit on upstream sale of equipment
Constructive loss on upstream purchase of bonds
Piecemeal (amortization) of constructive loss on upstream purchase of bonds
Totals:

4) 2010 Controlling Interest Share of Consolidated Net Income =

5) 2011 Controlling Interest Share of Consolidated Net Income =

6) 2010 Controlling Interest Share of Consolidated Net Income =