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dent makeses () on the consolidation working paper for 20latd to terest-bearing loan to its 90%-owned subsidiary in 2016, which is still an in parent mak A7 The eliminating entries () on nt in subsidiary by the amourt of 2016's interest rever diary's beginning retained eeraings by the amount of20's interest nt in subsidiary by the e ut of interest owing at the ead of 20 outstanding in L01 elated to this loan a. reduce in reduce investment ffect on investment in st ,ii revene the subsidiary's beginnig retained earnings Petronet sells 02017, tory contains is merchandise to its 80-percent owsed subsidiary Sonata at a marcup of 20 percent on cost. 1 Petronet charges Sonat s0 00: for merchandise sales. Sonata's 2017 beginning inven- uring s $540.000 in merchandiso pur-nases from Petronet. Sonata's 2017 ending inventory contains ata. How are Petronet's 2017 equity in net income of Sonata and 2017 consolidated incomie Lo 2 merchandise purchased froi Peuunet. Petronet uses the complete equity method to record its interest affected by intercompany merchandise transactions? the noncontrolling to Noncontrolling interest Equity in net incomein net income $10,000 increase $ 8,000 increase $12,000 increase $ 9,600 increase $0 $2,000 increase $0 $2,400 increase c. d. nE 9 nercent of Sesa. At the start of 2016, Sesa sold buildings carried at $4.000,000, ne life nf 10 years and straight-line depreciati