Pitino acquired 90 percent of Brey's outstanding shares on January 1, 2019, in exchange for $414,000 in cash. The subsidiary's stockholders' equity accounts totaled $398,000, and the noncontrolling interest had a fair value of $46,000 on that day. However, a building (with a ten-year remaining life) in Brey's accounting records was undervalued by $29,000. 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 $72,000 in 2019 and $88,000 in 2020. Brey declared dividends of $23,000 in 2019 and $27,000 in 2020.

Brey sells inventory to Pitino as follows:

Year	Cost to Brey			Transfer Price to Pitino			Inventory Remaining at Year-End (at transfer price)
2019	$	77,000		$	155,000		$	33,000
2020		96,250			175,000			45,000
2021		140,000			200,000			75,000

At December 31, 2021, Pitino owes Brey $24,000 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
Sales revenues	$	(878,000	)		$	(406,000	)
Cost of goods sold		523,000				217,000
Expenses		186,200				74,000
Equity in earnings of Brey		(91,440	)			0
Net income	$	(260,240	)		$	(115,000	)
Retained earnings, 1/1/21	$	(504,000	)		$	(294,000	)
Net income (above)		(260,240	)			(115,000	)
Dividends declared		137,000				27,000
Retained earnings, 12/31/21	$	(627,240	)		$	(382,000	)
Cash and receivables	$	154,000			$	106,000
Inventory		295,000				176,000
Investment in Brey		541,845				0
Land, buildings, and equipment (net)		972,000				336,000
Total assets	$	1,962,845			$	618,000
Liabilities	$	(780,605	)		$	(22,000	)
Common stock		(555,000	)			(214,000	)
Retained earnings, 12/31/21		(627,240	)			(382,000	)
Total liabilities and equity	$	(1,962,845	)		$	(618,000	)

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? a. Annual amortization $ 8,250 X . S. Intra-entity transfers Intra-entity gross profit, January 1, 2021 Intra-entity gross profit, December 31, 2021 Upstream 45,000 X $ 22,500 . What amounts make up the $91,440 Equity Earnings of Brey account balance for 2021? % What is the net income attributable to the noncontrolling interest for 2021? Net income attributable to noncontrolling interest What amounts make up the $541,845 Investment in Brey account balance as of December 31, 2021? Investment in Brey (consideration transferred) Net income of Brey 0 0 % Dividends declared by Brey 0 % $ 0 Prepare entry S ote: Enter debits before credits. Transaction Accounts Debit Credit 1 Without preparing a worksheet or consolidation entries, determine the consolidation balances for these all amounts as positive values.) 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