Protrade Corporation acquired 80 percent of the outstanding voting stock of Seacraft Company on January 1, 2023, for $508,000 in cash and other consideration. At the acquisition date, Protrade assessed Seacraft's identifiable assets and liabilities at a collective net fair value of $635,000, and the fair value of the 20 percent noncontrolling interest was $127,000. No excess fair value over book value amortization accompanied the acquisition.

The following selected account balances are from the individual financial records of these two companies as of December 31, 2024:

Items	Protrade	Seacraft
Sales	$ 750,000	$ 470,000
Cost of goods sold	345,000	252,000
Operating expenses	161,000	116,000
Retained earnings, 1/1/24	850,000	290,000
Inventory	357,000	121,000
Buildings (net)	369,000	168,000
Investment income	Not given	0

Each of the following problems is an independent situation:

Required:

Assume that Protrade sells Seacraft inventory at a markup equal to 60 percent of cost. Intra-entity transfers were $101,000 in 2023 and $121,000 in 2024. Of this inventory, Seacraft retained and then sold $39,000 of the 2023 transfers in 2024 and held $53,000 of the 2023 transfers until 2024.

Determine balances for the following items that would appear on consolidated financial statements for 2024:

Cost of Goods Sold

Inventory

Net Income Attributable to Noncontrolling Interest

Assume that Seacraft sells inventory to Protrade at a markup equal to 60 percent of cost. Intra-entity transfers were $61,000 in 2023 and $91,000 in 2024. Of this inventory, $32,000 of the 2023 transfers were retained and then sold by Protrade in 2024, whereas $46,000 of the 2024 transfers were held until 2025.

Determine balances for the following items that would appear on consolidated financial statements for 2024:

Cost of Goods Sold

Inventory

Net Income Attributable to Noncontrolling Interest

Protrade sells Seacraft a building on January 1, 2023, for $102,000, although its book value was only $61,000 on this date. The building had a five-year remaining life and was to be depreciated using the straight-line method with no salvage value.

Determine balances for the following items that would appear on consolidated financial statements for 2024:

Buildings (net)

Operating Expenses

Net Income Attributable to Noncontrolling Interest

\begin{tabular}{|l|l|} \hline a. Cost of goods sold \\ \hline a. Inventory \\ \hline a. Net income attributable to noncontrolling interest \\ \hline b. Cost of goods sold \\ \hline b. Inventory \\ \hline b. Net income attributable to noncontrolling interest \\ \hline c. Buildings (net) \\ \hline c. Operating expenses \\ \hline c. Net income attributable to noncontrolling interest \\ \hline \end{tabular}