Questions are under "Required" below (3 questions)

On January 1, Year 3, First Rate Corp {First} purchased 1,350 common shares of Second Opinion Ltd {Second} for $112,500. On this date, the shareholders' equity accounts of Second were as follows: Common [ordinary] shares [1,585 shares issued and outstanding} 35,000 Preferred shares [5,500 shares issued and outstanding} T1,500 Retained earnings 80,000 185,500 The preferred shares have a $1Ishare dividend rate and are cumulative and nonparticipating with a liquidation value of $13.80 per share. The dividends were one year in arrears on January 1, Year 3. The following information pertains to retained earnings for the two companies for Year 3: First Second Retained earnings, beginning of the year 145,000 Net income 58,000 Dividends declared and paid 20,000 Retained earnings, end of the year 184,000 Additional information: - First uses the cost method to account for its investment in Second - Any acquisition differential related to patents with an estimated useful life of 5 years as of January 1, Year 3. Neither company has any patents recorded on their separate-entity records. Required: a. Prepare a schedule to analyze the purchase and to determine the fair value differential for the patent. [:1 marks} I1 Calculate noncontrolling interest for the consolidated income statement for Year 3. [5 marks} c. Calculate the noncontrolling interest for the consolidated statement ofnancial position [balance sheet} at the end onear 3. [5 marks} 80000 35000 18000 88000