Problem 6-33 (Algo) (LO 6-4) Smith, Inc., has the following stockholders' equity accounts as of January 1, 2021: Preferred stock-$140 par, nonvoting and nonparticipating, 8% cumulative dividend Common stock-$10 par value Retained earnings $ 2,240,000 4,240,000 10,240,000 Haried Company purchases all of Smith's common stock on January 1, 2021, for $14,540,000. The preferred stock remains in the hands of outside parties. Any excess acquisition-date fair value will be assigned to franchise contracts with a 30-year remaining life. During 2021, Smith reports earning $690,000 in net income and declares $600,000 in cash dividends. Haried applies the equity method to this investment. a. What is the noncontrolling interest's share of consolidated net income for this period? b. What is the balance in the Investment in Smith account as of December 31, 2021? c. What consolidation entries are needed for 2021? X Answer is not complete. Complete this question by entering your answers in the tabs below. Req A and B Reqc a. What is the noncontrolling interest's share of consolidated net income for this period? b. What is the balance in the Investment in Smith account as of December 31, 2021? Amount a. Net income - noncontrolling interest's share b. Investment in Smith account Req A and B Reg C What consolidation entries are needed for 2021? (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Transaction Debit Credit 1 1 Accounts Preferred stock (Smith) Common stock (Smith) Retained earnings (Smith) Franchises Investment in Smith Noncontrolling interest in Smith 2,240,000 4,240,000 10,240,000 14,540,000 2,240,000 2 2 Equity income of Smith Investment in Smith 3 3 Investment in Smith Dividends declared 4 4 Amortization expense Franchises