On January $1,2020,$ Doone Corporation acquired $70$ percent of the outstanding voting stock of Rockne Company for $$588,000$

consideration. At the acquisition date, the fair value of the $30$ percent noncontrolling interest was $$252,000,$ and Rockne's assets and

liabilities had a collective net fair value of $$840,000.$ Doone uses the equity method in its internal records to account for its investment

in Rockne. Rockne reports net income of $$310,000$ in $2021.$ Since being acquired, Rockne has regularly supplied inventory to Doone at

$25$ percent more than cost. Sales to Doone amounted to $$370,000$ in $2020$ and $$470,000$ in $2021.$ Approximately $40$ percent of the

inventory purchased during any one year is not used until the following year.

a$.$ What is the noncontrolling interest's share of Rockne's $2021$ income?

b$.$ Prepare Doone's $2021$ consolidation entries required by the intra$-$entity inventory transfers.

Complete this question by entering your answers in the tabs below.

Required A

Required B

Prepare Doone's $2021$ consolidation entries required by the intra$-$entity inventory transfers. $($If no entry is required for a

transaction$/$event$,$ selfect $"$No journal entry required" in the first account field.$)$

Consolidation

Worksheet Entries

$1$

$2$

$3$