The following are preliminary financial statements for Black Co. and Blue Co. for the year ending December 31, 20X1 prior to Black”s acquisition of Blue. Black co Blue Co Sales 360,000 228,000 Expenses (240,000) (132,000) Net income 120,000 96,000 Retained earnings 1/1/11 480,000 252,000 Net income (from above) 120,000 96,000 […]