Yosef Corporation acquired 90% of the outstanding voting stockof Randeep Inc. on January 1, Year 6. During Year 6, intercompanysales of inventory of $45,000 (original cost of $27,000) were made.Only 20% of this inventory was still held within the consolidatedentity at the end of Year 6 and was sold in Year 7. Intercompanysales of inventory of $60,000 (original cost of $33,000) occurredin Year 7. Of this merchandise, 30% had not been resold to outsideparties by the end of the year.

At the end of Year 7, selected figures from the two companies’financial statements were as follows:   

	Yosef	Randeep
Inventory	$70,000	$45,000
Retained Earning, beg. of year	500,000	300,000
Net Income	150,000	55,000
Dividends Declared	50,000	20,000
Retained Earnings, End of Year	600,000	335,000

Required:

(a) Assume that all intercompany sales were upstream. Calculatethe amount to be reported on the Year 7 consolidated financialstatements for the following accounts/items:

(i) Consolidated net income

ii) Consolidated net income attributable to the controlling andnon­controlling interest

(iii) Deferred income tax asset

(iv) Inventory

(v) Assume Randeep's retained earnings at acquisition dateJanuary 1, Year 6 was $140,000. Calculate the Parent's (Yosef's)consolidated retained earnings balance at January 1, year 7 ANDDecember 31, year 7