Port Company $($Port$)$ purchased $70\%$ of the voting shares of Sail Ltd$.($Sail$)$ for $$630,000$ on January $1,2021.$ On that date, Sail's common shares and retained earnings were valued at $$300,000$ and $$150,000$ respectively. Unless otherwise stated, assume that Port uses the cost method to account for its investment in Sail.

Sail's fair values approximated its carrying values with the following exceptions:

$$ The trademark had a fair value which was $$80,000$ higher than its carrying value.

$$ The bonds payable had a fair value which was $$30,000$ higher than their carrying value.

The trademark had a useful life of twenty years remaining from the date of acquisition. The bonds payable mature on January $1,2041.$ Both companies use straight line amortization exclusively.

The financial statements of both companies for the year ended December $31,2023$ are shown below:

Income Statements

Port Sail

Sales $$640,000$ $$520,000$

Other revenues $460,000160,000$

Less: expenses

Cost of goods sold $480,000390,000$

Depreciation expense $40,00020,000$

Other expenses $80,00040,000$

Income tax expense $250,000115,000$

Net income $$250,000$ $$115,000$

Retained Earnings Statements

Port Sail

Balance, January $1,2023$ $$420,000$ $$330,000$

Net income $250,000115,000$

Less: dividends $(50,000)(65,000)$

Retained Earnings, Dec $31,2023$ $$620,000$ $$380,000$

Balance Sheets

Port Sail

Cash $$100,000$ $$90,000$

Accounts receivable $270,000190,000$

Inventory $350,000110,000$

Investment in Sail $630,000$

Equipment $($net$)520,000150,000$

Land $------100,000$

Trademark $------300,000$

Total assets $$1,870,000$ $$940,000$

Current liabilities $$300,000$ $$110,000$

Bonds payable $450,000150,000$

Common shares $500,000300,000$

Retained earnings $620,000380,000$

Total liabilities and equity $$1,870,000$ $$940,000$

Other Information:

$$ A goodwill impairment test conducted in $2023$ revealed that Sail's goodwill amount on the date of acquisition had been impaired by $$5,000$

$$ During $2022,$ Port sold $$60,000$ worth of inventory to Sail, $80\%$ of which was sold to outsiders during the year.

$$ During $2023,$ Port sold inventory to Sail for $$80,000.75\%$ of this inventory was resold by Sail to outside parties during that year.

$$ During $2022,$ Sail sold $$100,000$ worth of inventory to Port, $70\%$ of which was sold to outsiders during the year.

$$ During $2023,$ Sail sold inventory to Port for $$120,000.60\%$ of this inventory was resold by Port to outside parties during that year.

$$ On April $1,2023,$ Port sold land to Sail for $$190,000.$ Port originally acquired the land for $$40,000$ in $2015.$

$$ All intercompany sales as well as sales to outsiders are priced $25\%$ above cost. The effective tax rate for both companies is $50\%.$ Assume that any gain on the sale of land is fully taxable.

Prepare a schedule detailing the realized and unrealized before tax and after$-$tax profits or gains resulting from the intercompany transactions for $2023.$