The Holtz Corporation acquired 80 percent of the 100,000 outstanding voting shares of Devine, Inc., for $6.10 per share on January 1, 2014. The remaining 20 percent of Devines shares also traded actively at $6.10 per share before and after Holtzs acquisition. An appraisal made on that date determined that all book values appropriately reflected the fair values of Devines underlying accounts except that a building with a 5-year life was undervalued by $67,500 and a fully amortized trademark with an estimated 10-year remaining life had a $61,000 fair value. At the acquisition date, Devine reported common stock of $100,000 and a retained earnings balance of $149,500.

Following are the separate financial statements for the year ending December 31, 2015:

Holtz Corporation	Devine, Inc.
Sales	$	(708,000	)	$	(350,250	)
Cost of goods sold	237,000	116,000
Operating expenses	311,000	74,250
Dividend income	(16,000	)	0
Net income	$	(176,000	)	$	(160,000	)
Retained earnings, 1/1/15	$	(736,000	)	$	(219,500	)
Net income (above)	(176,000	)	(160,000	)
Dividends declared	90,000	20,000
Retained earnings, 12/31/15	$	(822,000	)	$	(359,500	)
Current assets	$	139,000	$	175,500
Investment in Devine, Inc	488,000	0
Buildings and equipment (net)	892,000	350,000
Trademarks	180,000	210,000
Total assets	$	1,699,000	$	735,500
Liabilities	$	(557,000	)	$	(276,000	)
Common stock	(320,000	)	(100,000	)
Retained earnings, 12/31/15 (above)	(822,000	)	(359,500	)
Total liabilities and equities	$	(1,699,000	)	$	(735,500	)

At year-end, there were no intra-entity receivables or payables.

A. Prepare a worksheet to consolidate these two companies as of December 31, 2015.

B. Prepare a 2015 consolidated income statement for Holtz and Devine.

C. If instead the noncontrolling interest shares of Devine had traded for $3.78 surrounding Holtzs acquisition date, what is the impact on goodwill?