PROBLEM2 On January 1, 2018, Gregory Corporation acquired 90 percent of Nova Company's voting stock, at underlying book value. The fair value of the noncontrolling interest was equal to 10 percent of the book value of Nova at that date Gregory uses the equity method in accounting for its follows: ownership of Nova. On December 31, 2018, the trial balances of the two companies are as Nova Company Cregory Corp. Debit Credt Debit Credt Current Assets Depreciable Assets Imestment in Nove Company Stock 144000 Depreciation Expense Other Ex penses Dvidends Declared Accumulated Depreciation Current Liabilities Long-Term Debt Common Stock Retained Eamings Sales $225,500 $145,000 225,000 300,000 30,000 180 000 40,000 25000 85,000 10,000 $150,000 45,000 75,000 100,000 282,500 253,500 13,500 3100,000 20,000 90,000 75,000 80,000 125,000 Income trom Subsidiery 5919,500 $919,500 $490,000 $490,000 Required: Prepare all consolidating entries required on December 31, 2018, to prepare consolidated financial statements