On January 1, 2020, McIlroy, Inc., acquired a 60 percent interest in the common stock of Stinson, Inc., for $384,600. Stinson's book value on that date consisted of common stock of $100,000 and retained earnings of $227,300. Also, the acquisition-date fair value of the 40 percent noncontrolling interest was $256,400. The subsidiary held patents (with a 10-year remaining life) that were undervalued within the company's accounting records by $77,800 and an unrecorded customer list (15-year remaining life) assessed at a $53,700 fair value. Any remaining excess acquisition-date fair value was assigned to goodwill. Since acquisition, McIlroy has applied the equity method to its Investment in Stinson account and no goodwill impairment has occurred. At year-end, there are no intra-entity payables or receivables.

Intra-entity inventory sales between the two companies have been made as follows:

Year	Cost to McIlroy	Transfer Price to Stinson	Ending Balance (at transfer price)
2020	$126,900	$158,625	$52,875
2021	113,100	150,800	37,700

The individual financial statements for these two companies as of December 31, 2021, and the year then ended follow:

	McIlroy, Inc.				Stinson, Inc.
Sales	$	(730,000	)		$	(366,000	)
Cost of goods sold		479,800				223,600
Operating expenses		196,510				76,200
Equity in earnings in Stinson		(34,054	)			0
Net income	$	(87,744	)		$	(66,200	)
Retained earnings, 1/1/21	$	(771,200	)		$	(282,600	)
Net income		(87,744	)			(66,200	)
Dividends declared		47,700				18,300
Retained earnings, 12/31/21	$	(811,244	)		$	(330,500	)
Cash and receivables	$	276,200			$	150,500
Inventory		259,400				131,200
Investment in Stinson		423,463				0
Buildings (net)		337,000				205,000
Equipment (net)		240,600				88,800
Patents (net)		0				23,200
Total assets	$	1,536,663			$	598,700
Liabilities	$	(425,419	)		$	(168,200	)
Common stock		(300,000	)			(100,000	)
Retained earnings, 12/31/21		(811,244	)			(330,500	)
Total liabilities and equities	$	(1,536,663	)		$	(598,700	)

(Note: Parentheses indicate a credit balance.)

Show how McIlroy determined the $423,463 Investment in Stinson account balance. Assume that McIlroy defers 100 percent of downstream intra-entity profits against its share of Stinsons income.

Prepare a consolidated worksheet to determine appropriate balances for external financial reporting as of December 31, 2021.