On January 1, 2020, McIlroy, Inc., acquired a 60 percent interest in the common stock of Stinson, Inc., for $384,000. Stinson's book value on that date consisted of common stock of $100,000 and retained earnings of $227,100. Also, the acquisition-date fair value of the 40 percent noncontrolling interest was $256,000. The subsidiary held patents (with a 10-year remaining life) that were undervalued within the company's accounting records by $73,300 and an unrecorded customer list (15-year remaining life) assessed at a $49,500 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 $123,600 $154,500 $51,500 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 $ (711,000 ) $ (349,000 ) Cost of goods sold 467,300 213,400 Operating expenses 192,405 72,800 Equity in earnings in Stinson (32,177 ) 0 Net income $ (83,472 ) $ (62,800 ) Retained earnings, 1/1/21 $ (739,000 ) $ (281,100 ) Net income (83,472 ) (62,800 ) Dividends declared 46,200 16,100 Retained earnings, 12/31/21 $ (776,272 ) $ (327,800 ) Cash and receivables $ 264,400 $ 149,300 Inventory 248,400 130,100 Investment in Stinson 422,239 0 Buildings (net) 322,000 203,300 Equipment (net) 230,000 86,900 Patents (net) 0 21,400 Total assets $ 1,487,039 $ 591,000 Liabilities $ (410,767 ) $ (163,200 ) Common stock (300,000 ) (100,000 ) Retained earnings, 12/31/21 (776,272 ) (327,800 ) Total liabilities and equities $ (1,487,039 ) $ (591,000 ) (Note: Parentheses indicate a credit balance.)

Show how McIlroy determined the $422,239 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.