only do part B please. #5

In preparing the consolidation worksheet for Pencil Comporation and its 60 percent-owned subsidiary, Stylus Compony, the following consoliostion entries were proposed by Pencil's bookkeeper. To eliminate the unprid balance for intercorporote inventory sales in 205. To eliminote unreolized inventory profits ot December 31,205. To eliminate intercompany sales for 205 Pencil's bookkeeper recently graduated from Oddbsll University, and olthough the dollor amounts recorded are correct, he had some confusion in determining which occounts needed adjustment. All intercorporate soles in 205 were from Stylus to Pencil, ond Stylus sells inventory ot cost plus 40 percent of cost. Pencil uses the fully odjusted equity method in occounting for its ownership in 5 tylus. Required: 3. What percentoge of the intercompony inventory transfer was resold prior to the end of 205 ? Note: Do not round your intermediate calculations. Round your final answer to nearest whole percentage. b. Prepore the oppropriate consolidotion entries needed ot December 31,205, to prepare consolideted financial statements. Note: If no entry is required for a transactionlevent, select "No journal entry requlred" in the first account field. Do not round intermediate calculations