Pitino acquired 90 percent of Brey's outstanding shares on January 1, 2019, in exchange for $459,000 in cash. The subsidiary's stockholders' equity accounts totaled $443,000, and the noncontrolling interest had a fair value of $51,000 on that day. However, a building (with a ten-year remaining life) in Brey's accounting records was undervalued by $39,000. 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 $77,000 in 2019 and $93,000 in 2020. Brey declared dividends of $25,500 in 2019 and $29,500 in 2020. Brey sells inventory to Pitino as follows: Year 2019 2020 2021 Cost to Brey $ 82,000 100,000 123,750 Transfer Price to Pitino $ 180,000 200,000 225,000 Inventory Remaining at Year-End (at transfer price) $ 38,000 50,500 60,000 At December 31, 2021, Pitino owes Brey $29,000 for inventory acquired during the period. The following separate account balances are for these two companies for December 31, 2021, and the year then ended. Note: Parentheses indicate a credit balance. Sales revenues Cost of goods sold Expenses Equity in earnings of Brey Net income Retained earnings, 1/1/21 Net income (above) Dividends declared Retained earnings, 12/31/21 Cash and receivables Inventory Investment in Brey Land, buildings, and equipment (net) Total assets Liabilities Common stock Retained earnings, 12/31/21 Total liabilities and equity Pitino Brey $ (888,000) $ (431, 000) 528,000 222,000 186,700 84,000 (101,115) $ (274,415) $ (125,000) $ (514, 000) $ (304,000) (274,415) (125,000) 142,000 32,000 $ (646,415) $ (397,000) $ 159,000 $ 111,000 320,000 201,000 592,470 0 977,000 360,000 $ 2,048,470 $ 672,000 $ (822,055) $ (21,000) (580,000) (254,000) (646,415) (397,000) $(2,048,470) $ (672,000) a. What was the annual amortization resulting from the acquisition-date fair-value allocations? b. Were the intra-entity transfers upstream or downstream? c. What intra-entity gross profit in inventory existed as of January 1, 2021? d. What intra-entity gross profit in inventory existed as of December 31, 2021? e. What amounts make up the $101,115 Equity Earnings of Brey account balance for 2021? f. What is the net income attributable to the noncontrolling interest for 2021? g. What amounts make up the $592,470 Investment in Brey account balance as of December 31, 2021? h. Prepare the 2021 worksheet entry to eliminate the subsidiary's beginning owners' equity balances. i. Without preparing a worksheet or consolidation entries, determine the consolidation balances for these two companies. Req A to D Req E ReqF Req G Reg H Req I What amounts make up the $592,470 Investment in Brey account balance as of December 31, 2021? 0 0 Investment in Brey (consideration transferred) Net income of Brey Reported 2019 Reported 2020 Reported 2021 Reported Total Intra-entity gross profit, 12/31/21 Adjusted net income 2019-2021 Pitino's ownership Excess amortizations Dividends declared by Brey Dividends declared in 2019 Dividends declared in 2020 Dividends declared in 2021 Dividends declared in Total Pitino's ownership Investment in Brey, 12/31/21 % 0 % $ 0 Reg A to D Req E Req F Req G ReqH Req I Prepare the 2021 worksheet entry to eliminate the subsidiary's beginning owners' equity balances. (If no entry is required for transaction/event, select "No journal entry required" in the first account field.) view transaction list transaction list X No Transaction Accounts Debit Credit 1 1 Common stock - Brey Retained earnings Investment in Brey Noncontrolling interest in Brey Rea G Real > Consolidated Balance Sales revenues Cost of goods sold Expenses Equity in earnings of Brey Consolidated net income Noncontrolling interest in consolidated net income Consolidated net income to Pitino Retained earnings, 1/1/21 Dividends declared Retained earnings, 12/31/21 Cash and receivables Inventory Investment in Brey Land, buildings, and equipment (net) Patented technology Total Assets Liabilities Noncontrolling interest in Brey, 12/31/21 Common Stock Retained earnings, 12/31/21 Total liabilities and equity