Preston Company acquired the assets (except for cash) and assumed the liabilities of Saville Company. Immediately prior to the acquisition, Saville Company’s balance sheet was as follows:     Book Value   Fair Value Cash   $122,900   $122,900 Receivables (net)   207,560   232,240 Inventory   361,510   389,840 Plant and equipment (net)   459,200   573,420 Land   417,050   617,650      Total assets   $1,568,220   $1,936,050           Current Liabilities   $526,250   $596,650 Common stock ($5 par value)   477,680     Other contributed capital   126,920     Retained earnings   437,370          Total equities   $1,568,220                 (a) Prepare the journal entries on the books of Preston Company to record the purchase of the assets and assumption of the liabilities of Saville Company if the amount paid was $1,567,060 in cash. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

SFFN Corp. purchased the entire business of AZC, Inc. including all its assets and liabilities for $1,800,000. Below is information related to the two companies:     SFFN   AZC   Fair value of assets $ 3,050,000   $ 1,600,000 Fair value of liabilities   2,575,000     800,000 Reported assets   2,800,000     1,400,000 Reported liabilities   2,500,000     750,000 Net Income for the year   460,000     250,000                     How much goodwill will SFFN recognize as a result of its acquisition of AZC?   Select one: a. $-0- b. $1,225,000 c. $1,150,000 d. $200,000 e. $1,000,000

M9-23 Assigning Purchase Price in Acquisitions Jasper Company acquired 80% of Fey Company at the beginning of the current year. Jasper paid $150,000 more than the book value of Eex's stockholders' equity and determined that this excess purchase price related to intangible assets. How does the $150,000 appear on the consolidated Jasper Company balance sheet if the intangible assets acquired related to (a) patents or, alternatively, (b) goodwill? How would each scenario affect the consolidated income statement?

Professor Corporation acquired 70 percent of Scholar Corporation's common stock on December 31, 20X4, fr $102,200. The fair value of the noncontrolling interest at that date was determined to be $43,800. Data from the balance sheets of the two companies Included the following amounts as of the date of acquisition: Item Cash Accounts Receivable Inventory Land Buildings & Equipment Less: Accumulated Depreciation. Investment in Scholar Corporation Total Assets Accounts Payable Mortgage Payable Common Stock Retained Earnings Total Liabilities & Stockholders' Equity Professor Corporation $ 50,300 90,000 Scholar Corporation $21,000 44,000 130,000 75,000 60,000 30,000 410,000 250,000 (150,000) (80,000) 102,200 $ 692,500 $340,000 $ 152,500 $ 35,000 250,000 180,000 80,000 40,000 210,000 85,000 $ 692,500 $340,000 At the date of the business combination, the book values of Scholar's assets and liabilities approximated fair value except for Inventory, which had a fair value of $81,000, and…