Problem 2 Pine Company holds 60% of Spruce Company stock. Pine has sold inventory to Spruce Company as follows: Year 2017 2018 2019 2020 Cost to Pine $193,000 $206,000 $240,000 $450,000 Sales Price to Spruce $347,000 $310,000 $300,000 $750,000 Percent of Sold Inventory Held at Year end 30% 20% 45% 40% The following balances were included in the individual financial statements of each company for the year ended 12/31/2020: Sales Cost of goods sold Merchandise inventory Pine Co. Spruce $ 5,100,000 3,900,000 $ 3,570,000 2,400,000 $ 580,000 390,000 a. What will be reported as consolidated sales in the year 2020? b. What will be reported as consolidated inventory at 12/31/2020? c. What will be reported as consolidated cost of goods sold for 2020? d. Were the intra-entity sales of inventory items upstream or downstream