Plug Products owns $80$ percent of the stock of Spark Filter Company, which it acquired at underlying book value on August $30,20$X$6.$ At that date, the fair value of the noncontrolling interest was equal to $20$ percent of the book value of Spark Filter. Summarized trial balance data for the two companies as of December $31,20$X$8,$ are as follows:

$\backslash$table$[[,$Plug Products,Spark Filter Company$],[,$Debit,Credit,Debit,Credit$],[$Cash and Accounts Receivable,$$145,000,,$$$90,000,],[$Inventory$,220,000,,110,000,],[$Buildings and Equipment $($net$),270,000,,180,000,],[$Cost of Goods Sold,$175,000,,140,000,],[$Depreciation Expense,$30,000,,20,000,],[$Current Liabilities,,$$150,000,,$$$30,000],[$Common Stock,,$200,000,,90,000],[$Income from Spark Filter Company,,$36,000,,],[$Total$,$$$1,108,000,$$$1,108,000,$$$540,000,$$$540,000]]$

On January $1,20$X$8,$ Plug's inventory contained filters purchased for $$60,000$ from Spark Filter, which had produced the filters for $$40,000.$ In $20$X$8,$ Spark Filter spent $$100,000$ to produce additional filters, which it sold to Plug for $$150,000.$ By December $31,20$X$8,$ Plug had sold all filters that had been on hand January $1,20$X$8,$ but continued to hold in inventory $$45,000$ of the $208$ purchase from Spark Filter.

Required:

a$.$ Prepare all consolidation entries needed to complete a consolidation worksheet for $20$X$8.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

view transaction list

$($x$)$

$\backslash$table$[[,$No$,$Entry,Accounts,Debit,Credit$],[0,$A$,1,$Common stock,$90,000,],[,,$Retained earnings,$220,000,],[,,$Income from Spark Filter Company,$36,000,],[,,$NCl in Net Income of Spark Filter Company,$9,000,],[,,$Investment in Spark Filter Company,,$284,000],[,,$NCl in Net assets of Spark Filter Company,,$71,000],[,$B$,2,$Investment in Spark Filter Company,$16,000,],[,,,$NCI in Net assets of Spark Filter Company,$4,000,],[,,,$Cost of goods sold,,$20,000],[0,$C$,3,$Sales,$150,000,],[,,$Cost of goods sold,,$135,000],[,,$Inventory,,$15,000]]$ b$.$ Compute consolidated net income and income assigned to the controlling interest in the $208$ consolidated income statement.

c$.$ Compute the balance assigned to the noncontrolling interest in the consolidated balance sheet as of December $31,20$X$8.$

Noncontrolling interestPlug Products owns $80$ percent of the stock of Spark Filter Company, which it acquired at underlying book value on August $30,20$X$6.$ At that date, the fair value of the noncontrolling interest was equal to $20$ percent of the book value of Spark Filter. Summarized trial balance data for the two companies as of December $31,20$X$8,$ are as follows: On January $1,20$X$8,$ Plug's inventory contained filters purchased for $$60,000$ from Spark Filter, which had produced the filters for $$40,000.$ In $20$X$8,$ Spark Filter spent $$100,000$ to produce additional filters, which it sold to Plug for $$150,000.$ By December $31,20$X$8,$ Plug had sold all filters that had been on hand January $1,20$X$8,$ but continued to hold in inventory $$45,000$ of the $20$X$8$ purchase from Spark Filter.