Pitino acquired 90 percent of Brey's outstanding shares on January 1, 2019, in exchange for $495,000 in cash. The subsidiary's stockholders' equity accounts totaled $479,000, and the noncontrolling interest had a fair value of $55,000 on that day. However, a building (with a ten-year remaining life) in Brey's accounting records was undervalued by $47.000. Pitino assigned the rest of the excess fair value over book value to Brey's patented technology (six-year remaining life). Brey reported net income from its own operations of $81,000 in 2019 and $97,000 in 2020. Brey declared dividends of $27,500 in 2019 and $31,500 in 2020, Brey sells inventory to Pitino as follows: Year 2019 2e2e 2021 Cost to Brey $ 86,000 119, eee 147,000 Transfer Price to Pitino $ 200, eee 220, eee 245,000 Inventory Remaining at Year-End (at transfer price) $ 42, see 54,000 45,000 At December 31, 2021. Pitino owes Brey $33,000 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. Pitino Brey 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 incone (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 $ (896,000) (451,000) 532,000 226,000 187,100 92,000 (119,970) @ $ (296,870) 5 (133,000) $ (522,000) S (312,000) (296,870) (133,000) 146,000 53,000 $ (672,870) S (392,000) $ 163,000 $ 115,000 340,000 221,000 634,410 981,000 345,000 $ 2,118,410 $ 681,000 5 (845,540) (3 800) (680,000) (286,000) (672,870) (392,000) $(2,118.410) $(681,000) a. What was the annual amortization resulting from the acquisition-date fair-value allocations? Req A to D Reg E ReqF Req G ReqH Req 1 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? Sho a Annual amortization b. Intra-entity transfers c. Intra-entity gross profit, January 1, 2021 d. Intra-entity gross profit, December 31, 2021 Roq A foD ReqE > Reg A to D Reqle ReqF Req G Reg H Reg 1 What amounts make up the $119,970 Equity Earnings of Brey account balance for 2021? % entries, determine the consolidation balanc Complete this question by entering your answers in the tabs below. Req A to D ReqE ReqF Reg G ReqH ReqI What is the net income attributable to the noncontrolling interest for 2021? Net income attributable to noncontrolling interest What amounts make up the $634,410 Investment in Brey account balance as of December 31, 2021? Investment in Brey (consideration transferred) Net income of Brey 0 % Dividends declared by Brey 0 96 $ 0 Consolidation Worksheet Entries Reg A to D Reqle ReqF Req G Reg H Reg 1 What amounts make up the $119,970 Equity Earnings of Brey account balance for 2021? % entries, determine the consolidation balanc Complete this question by entering your answers in the tabs below. Req A to D ReqE ReqF Reg G ReqH ReqI What is the net income attributable to the noncontrolling interest for 2021? Net income attributable to noncontrolling interest What amounts make up the $634,410 Investment in Brey account balance as of December 31, 2021? Investment in Brey (consideration transferred) Net income of Brey 0 % Dividends declared by Brey 0 96 $ 0 Consolidation Worksheet Entries