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On January 1, Beckman, Inc., purchases 60 percent of the outstanding stock of Calvin for $36,000. Calvin Co. has one recorded asset, a specialized production machine with a book value of $10,000. For each of the following noncontrolling interest concepts, what amounts should Beckman report in its consolidated financial statements for noncontrolling interest in subsidiary income, end-of-year total noncontrolling interest, Calvin's machine (net of accumulated depreciation), and the process trade secret.

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22. On January 1, Beckman, Inc., purchases 60 percent of the outstanding stock of Calvin for $36,000. Calvin Co. has one recorded asset, a specialized production machine with a book value of $10,000.The fair market value of the machine is $50,000, and the remaining useful life is estimated to be 10 years. Any remaining excess cost is attributable to an unrecorded process trade secret with an estimated future life of 4 years.
At the end of the year, Calvin reports the following in its financial statements:
Revenues $50,000 Machine $ 9,000 Common stock $10,000
Expenses 20,000 Other assets 26,000 Retained earnings 25,000
Net income $30,000 Total assets $35,000 Total equity $35,000

Dividends paid $ 5,000

For each of the following noncontrolling interest concepts, what amounts should Beckman report in
its consolidated financial statements for noncontrolling interest in subsidiary income, end-of-year
total noncontrolling interest, Calvin's machine (net of accumulated depreciation), and the process
trade secret.
a. Parent company concept.
b. Proportionate consolidation concept.
c. Economic unit concept.

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$2.19