
On January 1, Beckman, Inc., acquires 60 percent of the outstanding stock of Calvin for $70,320. Calvin Co. has one recorded asset, a specialized production machine with a book value of $17,700 and no liabilities. The fair value of the machine is $106,200, and the remaining useful life is estimated to be 10 years. Any remaining excess fair value is attributable to an unrecorded process trade secret with an estimated future life of 4 years. Calvin’s total acquisition date fair value is $117,200.
At the end of the year, Calvin reports the following in its financial statements:
Revenues | $ | 56,700 | Machine | $ | 15,930 | Common stock | $ | 17,700 | |||
Expenses | 21,750 | Other assets | 31,720 | 29,950 | |||||||
Net income | $ | 34,950 | Total assets | $ | 47,650 | Total equity | $ | 47,650 | |||
Dividends paid | $ | 5,000 | |||||||||
Determine the amounts that Beckman should report in its year-end consolidated financial statements for noncontrolling interest in subsidiary income, noncontrolling interest, Calvin’s machine (net of

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