On January $1,2024,$ Sledge had common stock of $$270,000$ and retained earnings of $$410,000.$ During that year, Sledge reported sales of $$280,000,$ cost of goods sold of $$145,000,$ and operating expenses of $$55,000.$

On January $1,2022,$ Percy, Incorporated, acquired $80$ percent of Sledge's outstanding voting stock. At that date, $$75,000$ of the acquisition$-$date fair value was assigned to unrecorded contracts $($with a $20-$year life$)$ and $$35,000$ to an undervalued building $($with a $10-$year remaining life$).$

In $2023,$ Sledge sold inventory costing $$15,000$ to Percy for $$30,000.$ Of this merchandise, Percy continued to hold $$9,000$ at year$-$end. During $2024,$ Sledge transferred inventory costing $$15,750$ to Percy for $$35,000.$ Percy still held half of these items at year$-$end.

On January $1,2023,$ Percy sold equipment to Sledge for $$19,500.$ This asset originally cost $$31,000$ but had a January $1,2023,$ book value of $$12,000.$ At the time of transfer, the equipment's remaining life was estimated to be five years.

Percy has properly applied the equity method to the investment in Sledge.

Required:

Prepare worksheet entries to consolidate these two companies as of December $31,2024.$

Compute the net income attributable to the noncontrolling interest for $2024.$Prepare worksheet entries to consolidate these two companies as of December $31,2024.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

On January $1,2024,$ Sledge had common stock of $$270,000$ and retained earnings of $$410,000.$ During that year, Sledge reported sales of $$280,000,$ cost of goods sold of $$145,000,$ and operating expenses of $$55,000.$

On January $1,2022,$ Percy, Incorporated, acquired $80$ percent of Sledge's outstanding voting stock. At that date, $$75,000$ of the acquisition$-$date fair value was assigned to unrecorded contracts $($with a $20-$year life$)$ and $$35,000$ to an undervalued building $($with a $10-$year remaining life$).$

In $2023,$ Sledge sold inventory costing $$15,000$ to Percy for $$30,000.$ Of this merchandise, Percy continued to hold $$9,000$ at year$-$end. During $2024,$ Sledge transferred inventory costing $$15,750$ to Percy for $$35,000.$ Percy still held half of these items at year$-$end.

On January $1,2023,$ Percy sold equipment to Sledge for $$19,500.$ This asset originally cost $$31,000$ but had a January $1,2023,$ book value of $$12,000.$ At the time of transfer, the equipment's remaining life was estimated to be five years.

Percy has properly applied the equity method to the investment in Sledge.

Required:

a$.$ Prepare worksheet entries to consolidate these two companies as of December $31,2024.$

b$.$ Compute the net income attributable to the noncontrolling interest for $2024.$

$\backslash$table$[[$No$,$Transaction,Accounts,,Debit,Credit$],[1,{?}^{***}G,$Retained earnings,$,,],[,$Cost of goods sold,$,,],[2,"$TA$,$Equipment,$o.,11,500,],[,$Investment in Sledge,$2,,],[,$Accumulated depreciation$-$Equipment,$,,],[3,s,$Common stock,$,,],[,$Retained earnings,$,,],[,$Investment in Sledge,$,,],[,$Noncontrolling interest in Sledge,$,,],[4,$A$,$Contracts,$,,],[,$Buildings,$,,],[,$Investment in Sledge,$,,],[,$Noncontrolling interest in Sledge,$,,],[5,1,$Equity in income of Sledge,$,,],[,$Investment in Sledge,$,,],[6,E,$Amortization expense,$,,],[,$Depreciation expense,$,,],[,$Contracts,$,,],[,$Buildings,$,,],[7,TI,$Sales,$,,],[,$Cost of goods sold,grad,,$],[8,$G$,$Cost of goods sold,$,,],[,$Inventory,$,,],[9,$ED$,$Accumulated depreciation$-$Equipment,$,,],[,$Depreciation expense,$,,]]$

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Required $B$

Compute the net income attributable to t