View previous attempt 3 Check my work 7 Problem 7-19 (Algo) (LO 7-6) 14 points Arriba and its 80 percent-owned subsidiary (Abajo) reported the following figures for the year ending December 31, 2021 (credit balances indicated by parentheses). Abajo paid dividends of $42,000 during this period. eBook Sales Arriba $(840,000) 420,000 243,600 (33,600) $(210,000) Abajo $ (420,000) 196,400 84,000 Cost of goods sold Operating expenses Dividend income Net income Print References $(139,600) In 2020, intra-entity gross profits of $42,000 on upstream transfers of $126,000 were deferred into 2021. In 2021 intra-entity gross profits of $55,600 on upstream transfers of $153,200 were deferred into 2022. a. What amounts appear for each line in a consolidated income statement for the year ending December 31, 2021? b. What income tax expense should appear on the consolidated income statement if each company files a separate return? Assume that the tax rate is 21 percent. (For all requirements, input all amounts as positive values.) Amount a. $ Sales Cost of goods sold 1,106,800 476,800 $ naratina annnnnn 277 onnll View previous attempt Check my work 7 In 2020, intra-entity gross profits of $42,000 on upstream transfers of $126,000 were deferred into 2021. In 2021 intra-entity gross profits of $55,600 on upstream transfers of $153,200 were deferred into 2022. 14 points a. What amounts appear for each line in a consolidated income statement for the year ending December 31, 2021? b. What income tax expense should appear on the consolidated income statement if each company files a separate return? Assume that the tax rate is 21 percent. eBook (For all requirements, input all amounts as positive values.) Print References Amount a. Sales $ 1,106,800 476,800 $ $ 327,600 $ 0 Cost of goods sold Operating expenses Dividend income Consolidated net income Noncontrolling interest in consolidated net income Controlling interest in consolidated net income b. Income tax expense