On January $1,2022,$ Uncle Company purchased $80$ percent of Nephew Company's capital stock for $$704,000$ in cash and other

assets. Nephew had a book value of $$844,000,$ and the $20$ percent noncontrolling interest fair value was $$176,000$ on that date. On

January $1,2024,$ Nephew had acquired $30$ percent of Uncle for $$305,000.$ Uncle's appropriately adjusted book value as of that date

was $$950,000.$

Separate operating income figures $($not including investment income$)$ for these two companies follow. In addition, Uncle declares and

pays $$25,000$ in dividends to shareholders each year and Nephew distributes $$6,000$ annually. Any excess fair$-$value allocations are

amortized over a $10-$year period.

Required:

a$.$ Assume that Uncle applies the equity method to account for this investment in Nephew. What is the subsidiary's income recognized

by Uncle in $2024?$

b$.$ What is the net income attributable to the noncontrolling interest for $2024?$