Pell Company acquires 80% of Demers Company for $500,000 on January 1, 2014. Demers reported common stock of $300,000 and retained earnings of $210,000 on that date. Equipment was undervalued by $30,000 and buildings were undervalued by $40,000, each having a 10-year remaining life. Any excess consideration transferred over fair value was attributed to goodwill with an indefinite life. Based on an annual review, goodwill has not been impaired.

Demers earns income and pays dividends as follows: Assume the EQUITY METHOD is applied.

Compute Pell's investment account balance in Demers at December 31, 2014.

580,000 5740,000 548,000 542,400 541,000

Compute the non-controlling interest in the net income of Demers at December 31, 2015.

18,400 14,400 22,600 24,000 12,600

Compute the non-controlling interest in Demers at December 31, 2015.

107,000 126,000 109,200 149,600 148,200