On April 1^st. Year 2017, X Company purchased 80% of the Y Company for $1,000,000.

At that date the common shares of Y was $450,000 and retained earnings $ 525,000

At this date the book values and fair values of the assets and liabilities of the Y Company were equal to their fair values except for the following items.

Book ValueFair Value

Plant and equipment.60,000..80,000

Accounts receivable...40,000.50,000

Inventories.. 80,00045,000

Accounts payable.. 50,00055,000

The plant and equipment had a remaining useful life of 10 years.

Goodwill testing resulted in impairment in goodwill in 2019 of $60,000 and $35,000 in 2020.

The financial statements for the two companies for the year ended December 31, 2020 were as follows:-

Assets:-

Cash$ 12,000..$ 25,000

Accounts receivable. 200,000.230,000

Inventories.. 185,000.. 250,000

Capital assets, net.1,445,000... 840,000

Investment in the Y Company1,000,000.

TOTAL ASSETS$ 2,842,000....$1,345,000

Liabilities & Owners Equity:-

Accounts payable.$ 240,000..$ 130,000

Other liabilities. 320,000. 65,000

Common Shares 1,200,000. . 450,000

Retained Earnings1,082,000. 700,000

TOTAL LIABILITIES & OWNERS EQUITY.$ 2,842,000.$1,345,000

Sales$2,900,000 $ 955,000

Dividends 64,000

Cost of goods sold 1,500,000 545,000

Gross Margin.. 1,464,000. 410,000

Amortization Expense 245,000. . 90,000

Other expenses. 130,000 . 30,000

Dividends.. 400,000 80,000

Income Taxes 185,000.. 21,000

NET INCOME AFTER TAXES.$ 504,000..$189,000

Additional Information:-

1. On September 1^st. 2018, Y purchased a machine from X for $52,000. The machine had a net book value of $40,000 and an estimated useful life of 8 years at the time of the sale to Y.
2. The 2020 opening inventories of X contained $50,000 of merchandise purchased from Y during 2019. Y had recorded a profit of $20,000 on these sales.
3. During 2020, Y sales to X totaled $24,000. These sales were made at a 20% mark up on cost.
4. During 2020, X sales to Y totaled $50,000. Ys ending inventories in 2020 contained $30,000 of merchandise purchase from X. X charges Y a 10% mark up on sales.
5. Both companies use a 40% tax rate.

Required_

1. Calculate consolidated net income for the year ending December 31^st 2020
2. What is the net income attributable to non-controlling interest