On January 1,2011,Palling Corporation Purchased 70% of the Common Stock

Essay

On January 1,2011,Palling Corporation purchased 70% of the common stock of Sam's Storage Systems for $320,000 when Sam's had Common Stock outstanding of $100,000 and Retained Earnings of $200,000.Any excess differential was attributed to goodwill.
At the end of 2011,Palling and Sam's had unrealized inventory profits from intercompany sales of $6,000 and $8,000,respectively.These year-end profit amounts were realized in 2012.At the end of 2012,Palling held inventory acquired from Sam's with a $10,000 unrealized profit.Palling reported separate income of $100,000 for 2012 and paid dividends of $30,000.Sam's reported separate income of $70,000 for 2012 and paid dividends of $20,000.
Required:
Compute the controlling interest share of consolidated net income for 2012.