On May 1, 2015, P Company purchased 80% of the common stock of S Company for $50,400. Additional data concerning these two companies for the years 2015 and 2016 are:

Calculate controlling interest in consolidated net income and consolidated retained earnings for 2015 and 2016.

Any difference between book value and the value implied by the purchase price relates to Smith Companys land. Peters Company uses the cost method to record its investment

2015 2016 Controlling interest in consolidated net income $ 89560 $ 34200 Consolidated Retained Earnings $ $ 2015 2015 2016 2016 P P Common Stock Other contributed capital Retained earnings 1/1 Net income (loss) Cash dividends 11/30 s 104100 43600 79800 59200 15700 23400 10100 9600 47700 1800 S 104100 43600 123300 38900 4500 23400 10100 55500 -4700 0