Following are the individual financial statements for Gibson and Davis for the year ending December 31, 2024:

Gibson acquired 60 percent of Davis on April 1, 2024, for $528,000. On that date, equipment owned by Davis (with a 5-year remaining life) was overvalued by $30,000. Also on that date, the fair value of the 40 percent noncontrolling interest was $352,000. Davis earned income evenly during the year but declared the $40,000 dividend on November 1, 2024.a. Prepare a consolidated income statement for the year ending December 31, 2024.b. Determine the consolidated balance for each of the following accounts as of December 31, 2024:

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Sales. Cost of goods sold Operating expenses Dividend income. Net income.. Retained earnings, 1/1/24.. Net income..... Dividends declared. Retained earnings, 12/31/24. Cash and receivables... Inventory... Investment in Davis. Buildings (net) Equipment (net). Total assets Liabilities.. Common stock Retained earnings, 12/31/24 Total liabilities and stockholders' equity. Gibson Davis $ (600,000) $ (300,000) 140,000 60,000 -0- $ (100,000) $ (400,000) (100,000) 40,000 300,000 174,000 (24,000) $ (150,000) $ (700,000) (150,0000) 80,000 $(770,000) $ 248,000 500,000 528,000 524,000 400,000 600,000 400,000 $2,200,000 $ 1,290,000 $ (460,000) $ 100,000 190,000 -0- (800,000) (630,000) (770,000) $(2,200,000) (490,000) (340,000) (460,000) $(1,290,000)