Comparative separate-company and consolidated balance sheets for Pod Corporation and its 70 percent-owned subsidiary, Saw Corporation, at year-end 2011 were as follows (in thousands):

Saw's net income for 2012 was $150,000, and its dividends for the year were $80,000 ($40,000 on March 1, and $40,000 on September 1). On April 1, 2012, Pod increased its interest in Saw to 80 percent by purchasing 5,000 shares in the market at $19 per share.

Separate incomes of Pod and Saw for 2012 are computed as follows:

REQUIRED

1. Prepare a consolidated income statement for the year ended December 31, 2012.

2. Prepare a schedule to show how Saw's net income and dividends for 2012 are allocated among noncontrolling interests, controlling interests, and otherinterests.

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Saw Pod $1,200 _(700) Sales Cost of sales Gross profit Depreciation expense Other expenses Separate incomes $2,000 (1,200) 800 (400) (100) $ 300 (300) (50) $ 150