On January 1, 2021, Jessica Inc. acquired 80 percent of Marissa Company for $1,200,000 fair
value consideration. The total fair value of Marissa Company was assessed at $1,400,000. Jessica computed annual excess amortization of $8,000 based on the difference between Marissa's total fair value and its underlying net asset fair value. The subsidiary reported earnings of $300,000 in 2021 and $400,000 in 2022 with dividend payments of $20,000 each year. Apart from its investment in Marissa Jessica had income of $400,000 in 2021 and
$500,000 in 2022. Required: Compute the amounts requested and enter your answer on the examination
answer sheet.