Paint Corporation owns 60 percent of Stain Company's shares. Partial 20X2 financial data for the companies and consolidated entity were as follows:

	Paint Corporation				Stain Company				Consolidated Totals
Sales	$	550,000			$	450,000			$	820,000
Cost of Goods Sold		310,000				300,000				420,000
Inventory, Dec. 31		180,000				210,000				375,000

On January 1, 20X2, Paint's inventory contained items purchased from Stain for $75,000. The cost of the units to Stain was $50,000. All intercorporate sales during 20X2 were made by Stain to Paint. Required: a. What amount of intercorporate sales occurred in 20X2?

b. How much unrealized intercompany profit existed on January 1, 20X2? On December 31, 20X2?

c. Prepare the worksheet consolidation entries relating to inventory and cost of goods sold needed to prepare consolidated financial statements for 20X2. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

c. Prepare the worksheet consolidation entries relating to inventory and cost of goods sold needed to prepare consolidated financial statements for 20X2. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)