Intercompany Sales Hollow Corporation acquired 70 percent of Surg Corporation’s voting stock on May 18, 20X1. The companies reported the following data with respect to intercompany sales in 20X4 and 20X5: Purchased Purchase Sold Sale Unsold at Y Year by Price to Price End of Year Unaf `20X4 Surg Corp. $120,000 Hollow Corp. $180,000 $ 45,000 20X5 20X5 Surg Corp. 90,000 Hollow Corp. 135,000 30,000 20X6 20X5 Hollow Corp. 140,000 Surg Corp. 280,000 110,000 20X6 Hollow reported operating income (excluding income from its investment in Surg) of $160,000 and $220,000 in 20X4 and 20X5, respectively. Surg reported net income of $90,000 and $85,000 in 20X4 and 20X5, respectively. Required a. Compute consolidated net income for 20X4. b. Compute the inventory balance reported in the consolidated balance sheet at December 31, 20X5, for the transactions shown. c. Compute the amount included in consolidated cost of goods sold for 20X5 relating to the transactions shown. d. Compute the amount of income assigned to the controlling interest in the 20X5 consolidated income statement.