Power Products Corporation, which sells a broad line of home detergent products, owns 75 percent of the stock of Scrub Soap Company. During 20X8, Scrub sold soap products to Power Products for $180,000, which it had produced for $120,000. Power Products sold $150,000 of its purchase from Scrub in 20X8 and the remainder in 20X9. In addition, Power Products purchased $240,000 of inventory from Scrub in 20X9 and resold $90,000 of the items before year-end. Scrubs cost to produce the items sold to Power Products in 20X9 was $160,000.

Required

A. Give all worksheet consolidation entries needed for December 31, 20X9, to remove the effects of the intercompany inventory transfers in 20X8 and 20X9.

B. Compute the amount of income assigned to noncontrolling shareholders in the 20X8 and 20X9 consolidated income statements if Scrub reported net income of

$350,000 for 20X8 and $420,000 for 20X9.