On January 1, 2012, Aspen Company acquired 80 percent of Birch Company's outstanding voting stock for $288,000. Birch reported a $300,000 book value and the fair value of the noncontrolling interest was $72,000 on that date. Also, on January 1, 2013, Birch acquired 80 percent of Cedar Company for $104,000 when Cedar had a $100,000 book value and the 20 percent noncontrolling interest was valued at $26,000. In each acquisition, the subsidiary's excess acquisition-date fair over book value was assigned to a trade name with a 30-year life. These companies report the following financial information. Investment income figures are not included 2012 2013 Sales Aspen Company Birch Company Cedar Company $ 415,000 545,000 $ 688,000 200,000 280,000 400,000 Not available 160,000 210,000 Expenses $310,000 $ 420,000 $ 510,000 60,000 220,000 335,000 Not available 150,000 180,000 Aspen Company Birch Company Cedar Company Dividends declared Aspen Company Birch Company $ 20,000 40,000 50,000 10,000 20,000 20,000 Not available 2,000 10,000 Cedar Company Assume that each of the following questions is independent a. If all companies use the equity method for internal reporting purposes, what is the December 31, 2013, balance in Aspen's Investment in Birch Company account? in b. What is the consolidated net income for this business combination for 2014? net c. What is the net income attributable to the noncontrolling interest in 20147 g interests' share of the consolidated net income c. What is the net income attributable to the noncontrolling interest in 2014 Noncontrolling interests' share of the consolidated net income d. Assume that Birch made intra-entity inventory transfers to Aspen that have resulted in the following unrealized gross profits at the end of each year: Amount 12/31/12 $10,000 16,000 25,000 Date 12/31/13 12/31/14 What is the realized income of Birch in 2013 and 2014, respectively? 2013 2014 Realized income