On January 1, 2024, Sledge had common stock of $150,000 and retained earnings of $290,000. During that year, Sledge reported sales of $160,000, cost of goods sold of $85,000, and operating expenses of $43,000.

On January 1, 2022, Percy, Incorporated, acquired 90 percent of Sledge's outstanding voting stock. At that date, $63,000 of the acquisition-date fair value was assigned to unrecorded contracts (with a 20-year life) and $23,000 to an undervalued building (with a 10-year remaining life).

In 2023, Sledge sold inventory costing $10,800 to Percy for $18,000. Of this merchandise, Percy continued to hold $8,000 at year-end. During 2024, Sledge transferred inventory costing $11,500 to Percy for $23,000. Percy still held half of these items at year-end.

On January 1, 2023, Percy sold equipment to Sledge for $13,500. This asset originally cost $19,000 but had a January 1, 2023, book value of $9,600. At the time of transfer, the equipment's remaining life was estimated to be five years.

Percy has properly applied the equity method to the investment in Sledge.

Required:

1. Prepare worksheet entries to consolidate these two companies as of December 31, 2024.
   1. Transaction *G
   2. Transaction *TA
   3. Transaction S
   4. Transaction A
   5. Transaction I
   6. Transaction E
   7. Transaction TI
   8. Transaction G
   9. Transaction ED
2. Compute the net income attributable to the noncontrolling interest for 2024.