Pitino acquired $90$ percent of Brey's outstanding shares on January $1,2022,$ in exchange for $$522,000$ in cash. The subsidiary's stockholders' equity accounts totaled $$506,000,$ and the noncontrolling interest had a fair value of $$58,000$ on that day. However, a building $($with a ten$-$year remaining life$)$ in Brey's accounting records was undervalued by $$28,000.$ Pitino assigned the rest of the excess fair value over book value to Brey's patented technology $($four$-$year remaining life$).$

Brey reported net income from its own operations of $$84,000$ in $2022$ and $$100,000$ in $2023.$ Brey declared dividends of $$29,000$ in $2022$ and $$33,000$ in $2023.$

Brey sells inventory to Pitino as follows:

$\backslash$table$[[$Year$,$Cost to Brey,Transfer Price to Pitino,$\backslash$table$[[$Inventory Remaining at$],[$Year$-$End $($at transfer$],[$price$)]]],[2022,$$$89,000,$$$215,000,$$$45,000$