My question is problem 2.

Determine the amounts that would appear in the consolidated financial statements of Pub Corporation and Sub for each of the following: 1. Goodwill at December 31, 2019 (10 Marks) 2. Non-controlling interest share for 2019 (5 Marks) 3. Consolidated retained earnings at December 31, 2018 (5 Marks) 4. Consolidated retained earnings at December 31, 2019 (5 Marks) 5. Consolidated net income for 2019 (10 Marks) 6. Non-controlling interest at December 31, 2018 (5 Marks) 7. Non-controlling interest at December 31, 2019 (5 Marks) Problem 2 Comparative income statements of Samba Corporation for the calendar years 2017, 2018, and 2019 are as follows (in thousands): ADDITIONAL INFORMATION 1. Samba was a 75 percent-owned subsidiary of Pamba Corporation throughout the 20172019 period. Pamba's separate income (excludes income from Samba) was $6,400,000, $5,600,000, and $7,000,000 in 2017,2018 , and 2019 , respectively. Pamba acquired its interest in Samba at its underlying book value, which was equal to fair value on July 1, 2016. 2. Pamba sold inventory items to Samba during 2017 at a gross profit to Pamba of $650,000. Half the merchandise remained in Samba's inventory at December 31, 2017. Total sales by Pamba to Samba in 2017 were $1,600,000. The remaining merchandise was sold by Samba in 2018. 3. Pamba's inventory at December 31, 2018, included items acquired from Samba on which Samba made a profit of $350,000. Total sales by Samba to Pamba during 2018 were $1,400,000. 4. There were no unrealized profits in the December 31, 2019, inventories of either Samba or Pamba. 5. Pamba uses the equity method of accounting for its investment in Samba. REQUIRED 1. Prepare a schedule showing Pamba's income from Samba for the years 2017, 2018, and 2019. (20 Marks) 2. Compute Pamba's net income for the years 2017, 2018, and 2019. (10 Marks) 3. Prepare a schedule of consolidated net income for Pamba Corporation and Subsidiary for the years 2017, 2018, and 2019, beginning with the separate incomes of the two affiliates and including noncontrolling interest computations. (25 Marks) End of Graded Activity 1