Pitino acquired 90 percent of Brey's outstanding shares on January 1, 2016, in exchange for $378,000 in cash. The subsidiary's stockholders' equity accounts totaled $362,000 and the noncontrolling interest had a fair value of $42,000 on that day. However, a building (with a ten-year remaining life) in Brey's accounting records was undervalued by $21,000. Pitino assigned the rest of the excess fair value over book value to Brey's patented technology (five-year remaining life).

Brey reported net income from its own operations of $68,000 in 2016 and $84,000 in 2017. Brey declared dividends of $21,000 in 2016 and $25,000 in 2017.

Year	Cost to Brey			Transfer Price to Pitino			Inventory Remaining at Year-End (at transfer price)
2016	$	73,000		$	135,000		$	29,000
2017		93,000			155,000			41,500
2018		108,000			180,000			55,000

At December 31, 2018, Pitino owes Brey $20,000 for inventory acquired during the period.

The following separate account balances are for these two companies for December 31, 2018, and the year then ended.

Note: Parentheses indicate a credit balance.

	Pitino				Brey
Sales revenues	$	(870,000	)		$	(386,000	)
Cost of goods sold		519,000				213,000
Expenses		185,800				66,000
Equity in earnings of Brey		(82,890	)			0
Net income	$	(248,090	)		$	(107,000	)
Retained earnings, 1/1/18	$	(496,000	)		$	(286,000	)
Net income (above)		(248,090	)			(107,000	)
Dividends declared		133,000				23,000
Retained earnings, 12/31/18	$	(611,090	)		$	(370,000	)
Cash and receivables	$	150,000			$	102,000
Inventory		275,000				156,000
Investment in Brey		503,550				0
Land, buildings, and equipment (net)		968,000				332,000
Total assets	$	1,896,550			$	590,000
Liabilities	$	(750,460	)		$	(38,000	)
Common stock		(535,000	)			(182,000	)
Retained earnings, 12/31/18		(611,090	)			(370,000	)
Total liabilities and equity	$	(1,896,550	)		$	(590,000	)

What was the annual amortization resulting from the acquisition-date fair-value allocations?

Were the intra-entity transfers upstream or downstream?

What intra-entity gross profit in inventory existed as of January 1, 2018?

What intra-entity gross profit in inventory existed as of December 31, 2018?

What amounts make up the $82,890 Equity Earnings of Brey account balance for 2018?

What is the net income attributable to the noncontrolling interest for 2018?

What amounts make up the $503,550 Investment in Brey account balance as of December 31, 2018?

Prepare the 2018 worksheet entry to eliminate the subsidiarys beginning owners equity balances.

Without preparing a worksheet or consolidation entries, determine the consolidation balances for these two companies.