Questions are in the 3rd screenshot, under "Required"

1. Calculate the total consideration paid by Dew. [3 marks} 2. Calculate the goodwill attributed to NCI. [5 marks} 3. Complete the following table to analyze the fair value differentials on the equipment and the trademark. [5 marks} 3 years I5 years 4. Determine the intercompany prots or losses in opening and ending inventory for Elerry in 2013. [3 marks} 5. For the 201? intercompany sale of patent, determine the unrealized gain or loss at the end of 201? and 2013. [3 marks} 5. For the 2018 intercompany sale of equipment, determine the unrealized gain or loss at the end of2010. [3 marks} ?. Determine consolidated retained earnings as at December 31, 201? [beginning of the current year}. [12 marks} 0. Determine total consolidated net income and the income attributable to both Dew and the NCI for the year ended December 31, 2018. [10 marks} 3. Using the direct method, prepare the consolidated balance sheet of Dew Derry for the year ended December 31, 2018118 marks} On January 1, 2015, Dew lnc. [Dew], purchased 280,000 ofthe 3T5,000 outstanding common shares of Berry Co. [Derry] by issuing 10 years bonds. The bonds had acoupon rate of 5.5% and par value of$1,800,000. At the time the bonds were issued the market rate of interest was 5.5%. The share purchase agreement included aclause whereby if Berry's earnings reached certain specied levels in the two years subsequent to acquisition, Dew would be required to make an additional cash payment of $58,000 to Elerry's old shareholders. At the date of acquisition the likelihood that earnings would reach the levels specied in the agreement was assessed at 50%. Dew uses the cost method to account for its investment in Derry. In the days following acquisition, Elerry's shares were trading at $8 per share. On the date of acquisition, the nancial statements of Berry indicated that the book values of common stock and retained earnings were $2,000,000 and $550,000 respectively. At this time, appraisals indicated that the following balance sheet items had market values different from fair values: PPE [1} Trademark [2} 1} The remained useil life of PPE is 8 years. 2} The useful life oftrademark is 5years. Because Berry's earnings, during 2015 and 2015, had reached the levels specied in the share purchase agreement, Dew made the payment, as set out in the agreement, to Berry's old shareholders on January 1, 201?. The legal entity income statements and balance sheets for Dew and Elerry for the year ended December 31, 2018 as well as information about dividends are as follows: Income Statements for the year ended December 31, 2018 Revenue Cost of sales Gross prot Selling, general and administration expense Interest expense Depreciation expense Other {income} expense Net income Book value 550,000 352,000 Dew 3,200,000 2 400 000 800,000 200,000 180,000 120,000 T5 000 215 000 11791555555? Fair value 815,000 315,000 Berry $2,850,000 2 055 000 885,000 185,000 100,000 85,000 100 000 505 000 Balance Sheets as at December 31, 2018 Cash 8. Accounts receivable Inventory Property, Plant 8 Equipment [net] Longterm Investments [1} Total Assets AFP and accrued liabilities Long - term Debt [2} Common Stock Retained Earnings Total Liabilities and Equity {1} Dew's investment account includes Dew's investment in Berry's shares as well as investments in bonds of other companies. Berry's investment account includes investments in bonds of other companies. [2} Any discounts or premiums related to bond liabilities are included in this account. Dividends declared during 2018 Dividends paid during 2018 All dividends declared during 201? were paid during 201?. Additional Information: On January 1, 201?, Berry sold a patent, with a remaining useful life of 8 years, to Dew for $1 ?5,000. The book value ofthe patent at the time of the sale was $245,000. Assume that the patent is included in long term investments. During 201?, Dew sold merchandise to Berry for $280,000. The gross prot percentage on these sales was 35%. None ofthe merchandise was sold by Berry in 201?, but 80% of it was sold during 2018. Dew made additional sales to Berry during 2018 of$150,000. The gross prot percentage reported on these sales was 25% and ?0% of this merchandise was sold by Berry during 2018. On June 30,2018, Berry sold equipment with an original cost of$210,000 and accumulated depreciation of $120,000 to Dew for $155,000. At the time of sale this equipment had a remaining useful life of 12 years. Both Dew and Berry have income tax rate 35%. Required: [for all parts in this question round all amounts to the nearest dollar} Dew 3, 3 485,000 885,000 380,000 500 000 8 440 000 3, 825,000 100,000 2,140,000 2 3?5 000 8 440 000 Dew 180,000 140,000 90,\" Berry $355,000 830,000 3,525,000 1,300,000 8120 000 ?E5,000 1,030,000 2,000,000 1,425,000 5120 000 Berry 150,000 100,000