Question $12$

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Kylar uses the equity method to account for its investment in Bright. Kylar assigned the acquisition$-$date AAP as follows:

$\backslash$table$[[$AAP Item,Initial Fair Value,$\backslash$table$[[$Useful$],[$Life$],[($years$)]]],[$PPE$,$$$700,000,10],[$Patent$,200,000,5],[$Customer List,$300,000,5],[$Goodwill$,100,000,$Indefinite$],[,$$$1,300,000,]]$

$80\%$ of if the Goodwill is allocated to the parent. Kylar and Bright report the following financial statements December $31,2$XX$4$:

$\backslash$table$[[,$Kylar,Bright$],[$Income Statement,,$],[$Sales$,$$$1,720,000,$$$1,500,000$