On January 1, 2016, Monica Company acquired 80 percent of Young Company's outstanding common stock for $824,000. The fair value of the noncontrolling interest at the acquisition date was $206,000. Young reported stockholders' equity accounts on that date as follows: Conmon stock-$10 par value Additional paid-in capital Retained earnings $ 100,000 60,000 550,000 In establishing the acquisition value, Monica appraised Young's assets and ascertained that the accounting records undervalued a building (with a five-year remaining life) by $70,000. Any remaining excess acquisition date fair value was allocated to a franchise agreement to be amortized over 10 years. During the subsequent years, Young sold Monica inventory at a 30 percent gross profit rate. Monica consistently resold this merchandise in the year of acquisition or in the period immediately following. Transfers for the three years after this business combination was created amounted to the following: Year 2016 2017 2018 Transfer Price $ 90,000 110,000 120,000 Inventory Remaining at Year-End (at transfer price) $ 24,000 26,000 32,000 In addition, Monica sold Young several pieces of fully depreciated equipment on January 1, 2017, for $50,000. The equipment had originally cost Monica $78,000. Young plans to depreciate these assets over a five-year period. In 2018, Young earns a net income of $280,000 and declares and pays $95,000 in cash dividends. These figures increase the subsidiary's Retained Earnings to a $880,000 balance at the end of 2018. During this same year, Monica reported dividend income of $76,000 and an investment account containing the initial value balance of $824,000. No changes in Young's common stock accounts have occurred since Monica's acquisition 2018 120,000 32,880 In addition, Monica sold Young several pieces of fully depreciated equipment on January 1, 2017, for $50,000. The equipment had originally cost Monica $78,000. Young plans to depreciate these assets over a five-year period. In 2018, Young earns a net income of $280,000 and declares and pays $95,000 in cash dividends. These figures increase the subsidiary's Retained Earnings to a $880,000 balance at the end of 2018. During this same year, Monica reported dividend income of $76,000 and an investment account containing the initial value balance of $824,000. No changes in Young's common stock accounts have occurred since Monica's acquisition. a. Prepare the 2018 consolidation worksheet entries for Monica and Young, b. Compute the net income attributable to the noncontrolling interest for 2018. Complete this question by entering your answers in the tabs below. Required A Required B Compute the net income attributable to the noncontrolling interest for 2018. Net income attributable to noncontrolling interest (Required A Required A Required B Prepare the 2018 consolidation worksheet entries for Monica and Young. (If no entry is required for a transaction/event, select "No Journal Entry Required in the first account field.) No Transaction Accounts Debit Credit 1 1 7,800 Retained earnings, 1/1/18 (Young) Cost of goods sold 7,800 2 2 Equipment Retained earnings, 1/1/18 (Monica) Accumulated depreciation SIS 28,000 40,000 68,000 3 3 Investment in Young Retained earnings, 1/1/18 (Monica) 4 4 Common stock - Young Additional paid in capital - Young Retained earnings, 1/1/18 (Young) Investment in Young Noncontrolling interest in Young 5 5 Franchise agreement Buildings Investment in Young 5 Franchise agreement Buildings Investment in Young Noncontrolling interest in Young BOOS 6 6 76,000 Dividend income Dividends declared >> 76,000 7 7 14,000 12,000 Depreciation expense Amortization expense Franchise agreement Buildings 12,000 14,000 8 8 Sales Cost of goods sold 9 9 9,600 Cost of goods sold Inventory 9,600 10 10 Accumulated depreciation Depreciation expense 10,000 10,000 Required B