On January 1, 2021, Dina had common stock of $170,000 and retained earnings of $310,000. During that year, Dina reported sales of $180,000, cost of goods sold of $95,000, and operating expenses of $45,000.

On January 1, 2019, Sarah, Inc., acquired 80 percent of Dina's outstanding voting stock. At that date, $65,000 of the acquisition-date fair value was assigned to unrecorded contracts (with a 20-year life) and $25,000 to an undervalued building (with a 10-year remaining life).

In 2020, Dina sold inventory costing $10,000 to Sarah for $20,000. Of this merchandise, Sarah continued to hold $5,000 at year-end. During 2021, Dina transferred inventory costing $13,750 to Sarah for $25,000. Sarah still held half of these items at year-end.

On January 1, 2020, Sarah sold equipment to Dina for $14,500. This asset originally cost $21,000 but had a January 1, 2020, book value of $10,000. At the time of transfer, the equipment's remaining life was estimated to be five years.

Sarah has properly applied the equity method to the investment in Dina.

Required:

Compute the net income attributable to the non-controlling interest for 2021.(show your calculations)