On January 1, 2011 Phoenix Co. acquired 100 percent of the outstanding voting shares of Sedona Inc. for $600,000 cash. At January 1 2011, Sedonas net assets had a total carrying amount of $420,000. Equipment (eight-year remaining life) was undervalued on Sedonas financial records by $80,000. Any remaining excess fair over book value was attributed to a customer list developed by Sedona (four-year remaining life), but not recorded on its books. Phoenix applies the equity method to account for its investment in Sedona. Each year since the acquisition, Sedona has paid a $20,000 dividend. Sedona recorded income of $70,000 in 2011 and $80,000 in 2012. Selected account balances from the two companies individual records were as follows: Phoenix Sedona 2013 Revenues $498,000 $285,000 2013 Expenses 350,000 195,000 2013 Income from Sedona 55,000 Retained earnings 12/31/13 250,000 175,000 What is consolidated net income for phoenix and Sedona for2013? a. $148,000 b. $203,000 c. $228,000 d. $238,000 What is Phoenixs consolidated retained earnings balance at December 31, 2013? a. $250,000 b. $290,000 c. $330,000 d. $360,000 On its December 31, 2013, consolidated balance sheet, what amount should Phoenix report for Sedonas customer list? a. $10,000 b. $20,000 c. $25,000 d. $50,000