Separate income statements of quail corp and its 80% owned subsidiary, Savannah corp, for 2016 are as follows:

Quail Savannah

sales rev 800,000 300,000

gain on equipment 35,000

cost of sales (400000) (160000)

other expenses (265000) (60000)

separate incomes 135000 115000

addiitonal information:

1. quail acquired its 80% interest in savannah corporation when the book values were equal to the fair values.

2. the gain on equipment relates to eqiupment with a book value of 85000 and a 7yr remaining useful life that svannah sold to quail for 120,000 on jan 1 2016. straight line depreciaiton method is used

required:

prepare a consolidated income statement for quail corp and subsidiary for the year 2016 by preparing a consolidated wokrsheet

please show all work