Moe Company purchased 80% of Curley Company stock for $500,000. At the time of the purchase, Curley Company had a book value was $400,000 with the excess being caused by equipment being undervalued by $60,000 and the rest from goodwill. The equipment has a four year life. Moe sold inventory last year to Curley for a profit of $10,000 which was in their inventory at the beginning of this year. Moe also sold inventory to Curley at a profit of $12,000 which is in the inventory of Curley at the end of the current year. The separate income reported by Moe was $150,000 and by Curley was $80,000.

a. Determine the consolidated income, the controlling interest share, and the non-controlling interest share.

b. Assume instead that Curley sold the inventory to Moe with $10,000 profit in Moe's beginning inventory and $12,000 profit in the ending inventory. Assume further that the same separate profits were reported. Determine the consolidated income, the controlling share, and the non-controlling share.