Pueblo Corporation acquired a 70% interest in Hacienda Limited on January 1, 2018, for $196,000 when Hacienda had common shares of $200,000 and retained earnings of $40,000. Half of the acquisition differential was allocated to capital assets with a remaining useful life of five years on that date with the balance of the acquisition differential considered to be goodwill. Pueblo Corporation uses the cost method to account for its investment in Hacienda Limited and values the non-controlling interest in its subsidiary at its fair value, proportionate to the price paid for its controlling interest. On June 30, 2018, Pueblo acquired a further 20% interest by purchasing additional shares from the non-controlling shareholders for a consideration of $64,000. 

During 2018, Pueblo had net income of $248,000 and paid dividends of $124,000 and Hacienda had net income of $60,000 and paid dividends of $40,000. Both companies earned their income evenly over the year and declared their dividends on October 31, 2018. Pueblo had retained earnings of $520,000 at the end of 2018. 

Required: 

a) Calculate consolidated retained earnings on December 31, 2018. 

b} Calculate non-controlling interest on December 31,2018.