On January 1, 2020, James Company purchased 100 percent of the outstanding voting stock of Nolan, Inc., for $1,000,000 in cash and other consideration. At the purchase date, Nolan had common stock of $500,000 and retained earnings of $185,000. James attributed the excess of acquisition-date fair value over Nolans book value to a trade name with an estimated 25-year remaining useful life. James uses the equity method to account for its investment in Nolan. During the next two years, Nolan reported the following: Table Summary: Header row has no data over the first column. Income Dividends Declared Inventory Transfers to James at Transfer Price 2020 $78,000 $25,000 $190,000 2021 85,000 27,000 210,000 Nolan sells inventory to James after a markup based on a gross profit rate. At the end of 2020 and 2021, 30 percent of the current year purchases remain in Jamess inventory. Required Create an Excel spreadsheet that computes the following:

1. Full Consolidation Worksheet of James and Nolan, consolidation totals

Formulate your solution so that Nolans gross profit rate on sales to James is treated as a variable.