Please do not give solution in image format ? 31 and are shown in the table given below. The following items were overlooked when the statements were prepared:• The Year 5 gain on sale of assets resulted from the subsidiary selling equipment to the parent on September 30. The parentimmediately leased the equipment back to the subsidiary at an annual rental of $13,200. This was the only intercompany renttransaction that occurred each year. The equipment had a remaining life of five years on the date of the intercompany sale.• The Year 6 gain on sale of assets resulted from the January 1 sale of a building, with a remaining life of seven years, by thesubsidiary to the parent.• Both gains were taxed at a rate of 40%.CONSOLIDATED INCOME STATEMENTSYear 5$ 755,0008,8003,300767,100Miscellaneous revenuesGain on sale of assetsRental revenueMiscellaneous expensesRental expenseDepreciation expenseIncome tax expenseNon-controlling interestNet incomeNCI400, 60053,40076,000Miscellaneous revenuesMiscellaneous expenseRent expenseDepreciation expenseIncome tax expenseConsolidated net incomeAttributable to:Shareholders of Parent81,50033,000644,50081,40095,0005,280738,820$ 122,600 $ 147,080Required:Prepare correct consolidated income statements for Years 5 and 6. (Input all values as positive numbers. Leave no cells blank - becertain to enter zero wherever required. Omit $ sign in your response.)Year 6$830,000Parent CompanyCorrected Consolidated Income StatementsYears 5 and 6Year 5$ 755,000400,6005010075560$42,70013,200$885,900492,54064,600$Year 6$ 830,000492,54051400$$$

Consolidation is an activity in which financial statements of a parent and its subsidiary should be…

Required: Prepare correct consolidated income statements for Years 5 and 6. (Input all values as positive numbers. Leave no cells blank - be certain to enter zero wherever required. Omit $ sign in your response.) Parent Company Corrected Consolidated Income Statements. Years 5 and 6 Miscellaneous revenues Miscellaneous expense Rent expense Depreciation expense Income tax expense Consolidated net income. Attributable to: Shareholders of Parent. NCI Year 5 $ 755,000 400,600 50100 75560 $ $ $ Year 6 $830,000 $ $ $ 492,540 51400