On 1/1/2019, America Corp. bought a 15% interest in Australia Corp. The acquisition price of $195,000 reflected an assessment that all of Australias accounts were fairly valued within the accounting records. During 2019, Australia reported net income of $100,000 and paid cash dividends of $30,000. America possessed the ability to influence significantly Australias operations, and therefore, accounted for this investment using the equity method.

On 1/1/2020, America acquired an additional 80% for $1,500,000 cash. The consideration transferred by America in its second acquisition of Australia represents the best available evidence for measuring the fair value of Australia Corp. at 1/1/2020.

Also, as of 1/1/2020, America assessed a $400,000 value to an unrecorded customer contract recently negotiated by Australia. The customer contract is anticipated to have a remaining life of 4-years. Australias other assets and liabilities were judged to have fair values equal to their book values. America elects to continue applying the equity method to this investment for internal reporting purposes.

At December 31, 2020, the following financial information is available for consolidation:

BALANCE SHEET	America		Australia
	December 31, 2020		December 31, 2020
Current Assets	177,500		550,000
Investment in Australia Company	?		0
Property, plant, and equipment	826,000		610,000
Patented Technology	850,000		410,000
Total Assets	?		1,570,000
Liabilities	1,300,000		90,000
Common Stock	900,000		550,000
APIC	180,000		220,000
R/E January 1, 2020	965,000		600,000
Net Income	?		150,000
Dividend Paid	(140,000)		(40,000)
Total Liabilities + Equity	?		1,570,000

INCOME STATEMENT	America		Australia
	2020		2020
Revenue	931,000		380,000
Operating Expenses	(615,000)		(230,000)
Income in Australia's earning	?
Gain(Loss) on revaluation of Investment in Australia to fair value	?
Net Income	?		150,000

Required:

1. Calculate the following amounts on America pre-consolidation 2020 statement (10 points):
   1. Investment in Australia
   2. Income in Australias earnings
   3. Gain (Loss) on Revaluation of Investment in Australia to fair value
2. Calculate the balance of NCI at December 31, 2020. Provide detail calculations (5 points).
3. Prepare a worksheet to consolidate the financial statements of these two companies as of December 31, 2020 (25 points).