On January $1,$ Year $4,$ Goodkey Co$.$ acquired all of the common shares of Jingya. The condensed income statements for the two companies for January, Year $5,$ were as follows:$$The following transactions occurred in January, Year $5,$ and are properly reflected in the income statements above:On January $1,$ Year $5,$ Jingya sold equipment to Goodkey for $$1,110,000$ and reported a gain of $$262,000.$ On this date, the equipment had a remaining useful life of four years.On January $31,$ Year $5,$ Jingya paid a dividend of $$710,000.$Goodkey uses the cost method to account for its investment in Jingya. Both companie

On January $1,$ Year $4,$ Goodkey Co$.$ acquired all of the common shares of Jingya. The condensed income statements for the two companies for January, Year $5,$ were as follows:

$\backslash$table$[[,$Goodkey,Jingya$],[$Sales$,$$$10,300,000,$$$6,030,000$s pay income tax at the rate of $40\%.$