The Holtz Corporation acquired 80 percent of the 100,000 outstanding voting shares of Devine, Inc., for $6.10 per share on January 1, 2017. The remaining 20 percent of Devine's shares also traded actively at $6.10 per share before and after Holtz's acquisition. An appraisal made on that date determined that all book values appropriately reflected the fair values of Devine's underlying accounts except that a building with a 5-year future 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, 2018: Sales Cost of goods sold Operating expenses Dividend income Net Income Retained earnings, 1/1/18 Net incone (above) Dividends declared Retained earnings, 12/31/18 Current assets Investment in Devine, Inc Buildings and equipment (net) Trademarks Total assets Liabilities Common stock Retained earnings, 12/31/18 (above) Total liabilities and equities Holtz Corporation $ (708,000) 237,000 311,000 (16,000) $ (176, 000) $ (736, 000) (176,000) 90,000 $ (822,000) $ 139,000 488,000 892,000 180,000 $ 1,699,000 $ (557,000) (320,000) (822,000) $(1,699,000) Devine, Inc. $(350, 250) 116,000 74,250 @ $ (160,000) $(219,500) (160,000) 20,000 $(359,500) $ 175,500 @ 350,000 210,000 $ 735,500 $ (276,000) (100,000) (359,500) $ (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, 2018 b. Prepare a 2018 consolidated income statement for Holtz and Devine. c. If instead the noncontrolling interest shares of Devine had traded for $3.78 surrounding Holtz's acquisition date, what is the impact on goodwill? Complete this question by entering your answers in the tabs below. Required A Required B Required Prepare a worksheet to consolidate these two companies as of December 31, 2018. (For accounts where multiple consolidation entr required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine entries into one amount and enter this amount in the credit column of the worksheet. Amounts in the Debit and credit columns sho as positive. Negative amounts for the Noncontrolling Interest and Consolidated Totals columns should be entered with a minus sign. Accounts Noncontrolling Consolidated Interest Totals Sales HOLTZ CORPORATION AND DEVINE, INC. Consolidation Worksheet For Year Ending December 31, 2018 Holtz Consolidation Entries Devine Inc. Corporation Debit Credit $ $ (708,000) (350,250) 237,000 116.000 311,000 74.250 (16,000) 0 $ $ (176,000) (160,000) Cost of goods sold Operating expenses Dividend income Separate company net income Consolidated net income NI attributable to noncontrolling interest Ni attributable to Holtz Corp. $ 0 S 0 Retained earnings. 1/1 Net income Dividends declared Retained earnings, 12/31 $ (736,000) (176,000) 90.000 S (822,000) $ (219,500) (160,000) 20,000 S (359.500) NI attributable to Holtz Corp. $ $ (736,000) (219,500) Retained earnings, 1/1 Net income Dividends declared (176,000) (160,000) 90,000 20,000 $ $ (822,000) (359,500) $ 0 Retained earnings, 12/31 Current assets Investment in Devine Buildings and equipment (net) Trademarks Goodwill Total assets $ 139,000 $ 175,500 488,000 0 892,000 350,000 180,000 210,000 0 0 $ 1,699,000 $ 735,500 $ 0 Liabilities $ $ (557,000) (276,000) (320,000) (100,000) (822,000) (359,500) Common stock Retained earnings, 12/31 NCI in Devine, 111 NCI in Devine, 12/31 Total liabilities and equities $ (1.699,000) $ 0 $ 0 (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, 2018. b. Prepare a 2018 consolidated income statement for Holtz and Devine. c. If instead the noncontrolling interest shares of Devine had traded for $3.78 surrounding Holtz's the impact on goodwill? Complete this question by entering your answers in the tabs below. Required A Required B Required C es Prepare a 2018 consolidated income statement for Holtz and Devine. (Enter all amounts as positive value HOLTZ CORPORATION AND DEVINE, INC. Consolidated Income Statement For Year Ending December 31, 2018 Total expenses 0 $ 0 To noncontrolling interest To Holtz Corporation $ 0 Retained earnings, 12/31/18 (above) Total liabilities and equities (822,000) $(1,699,000) (359,500) $(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, 2018. b. Prepare a 2018 consolidated income statement for Holtz and Devine. c. If instead the noncontrolling interest shares of Devine had traded for $3.78 surrounding Holtz's acquisition date, what is the impact on goodwill? Complete this question by entering your answers in the tabs below. Required A Required B Required C If instead the noncontrolling interest shares of Devine had traded for $3.78 surrounding Holtz's acquisition date, what is the impact on goodwill? Goodwill