(Answered) Parent corporation acquired 75 of subsidiary corporations

Accounting

Parent Corporation acquired 75% of Subsidiary Corporation's voting stock on January 1, 2004, for $348,000, when the fair value of the noncontrolling interest was $116,000. Subsidiary reported common stock outstanding of $150,000 and retained earnings of $270,000. The excess of fair value over book value of Subsidiary's net assets was attributed to amortizable assets with a remaining life of 10 years. On December 31, 2004, Subsidiary sold a building to Parent and recorded a gain of $20,000.

The net income of the subsidiary for 2004 is $94,400 and the parent had net operating income of $234,000.

Required: Calculate the following amounts and write the answer on the line provided.

A. What is the amount of amortization from the acquisition on January 1, 2004?

B. What is the Non-controlling Interest's net income?

C. What is the Controlling Interest Net Income?

D. What is the Consolidated Net Income?

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