A Parent Corp	Sub Corp
Cash	$ 36,000	$ 85,000
A/R	48,000	110,000
Inventory	140,000	50,000
Patent	0	10,000
PP&E	1,630,000	320,000
A/D	(450,000)	(50,000)
Investment in sub	412,500	0
Total Assets	$1,816,500	$525,000
A/P	$35,000	$ 55,000
Bonds Payable	190,500	65,000
Common Stock	225,000	110,000
Retained Earnings	1,366,000	295,000
Total Liabilities & Equity	$1,816,500	$525,000

The Parent acquired 75% of the sub on Jan 1, paying $412,500. The above balance sheets are for the parent and sub at the date of acquisition. At the time of acquisition, any differential was attributed 60% to PP&E with a 10 year remaining life, and the remainder to goodwill.

During the first year after the acquisition, the Sub reported Net Income of $50,000 and paid dividends of $6,000. The parent had operating income of $205,000 (which did not include the income from the sub).

1. What is the consolidated net income for the first year?
2. What is the value of the NCI at the end of the first year?
3. What income from sub will be reported on the parents income statement the first year?

I