On January $1,2021,$ Sledge had common stock of $$120,000$ and retained earnings of $$260,000.$ During that year, Sledge reported sales of $$130,000,$ cost of goods sold of $$70,000,$ and operating expenses of $$40,000.$

On January $1,2019,$ Percy, Inc., acquired $80$ percent of Sledge's outstanding voting stock. At that date, $$60,000$ of the acquisition$-$date fair value was assigned to unrecorded contracts $($with a $20-$year life$)$ and $$20,000$ to an undervalued building $($with a $10-$year remaining life$).$

In $2020,$ Sledge sold inventory costing $$9,000$ to Percy for $$15,000.$ Of this merchandise, Percy continued to hold $$5,000$ at year$-$end. During $2021,$ Sledge transferred inventory costing $$11,000$ to Percy for $$20,000.$ Percy still held half of these items at year$-$end.

On January $1,2020,$ Percy sold equipment to Sledge for $$12,000.$ This asset originally cost $$16,000$ but had a January $1,2020,$ book value of $$9,000.$ At the time of transfer, the equipment's remaining life was estimated to be five years.

Percy has properly applied the equity method to the investment in Sledge.

a$.$ Prepare worksheet entries to consolidate these two companies as of December $31,2021.$

b$.$ Compute the net income attributable to the noncontrolling interest for $2021.$