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Jackton Company acquires 100% of the stock of Clark Corporation on January 1, 2020, for...

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Accounting

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Jackton Company acquires 100% of the stock of Clark Corporation on January 1, 2020, for $4,100 cash. As of that date Clark has the following trial balance Credit 600 Debit Cash $ 500 Accounts receivable Inventory 900 Buildings (net) (5 year life) 1,600 Equipment (net) (2 year life) 1,800 Land 900 Accounts payable Long-term liabilities (due 12/31/22) Common stock Additional paid in capital Retained earnings Total $5,500 $ 400 1,900 1,089 700 1,500 $5,500 Net income and dividends reported by Clark for 2020 and 2021 follow Net income Dividends 2020 2821 $120 $140 40 50 The fair value of Clark's net assets that differ from their book values are listed below: Buildings Equipment Land Long-term liabilities Fair Value $1,200 1,350 1,300 1,750 Any excess of consideration transferred over fair value of net assets acquired is considered goodwill with an indefinite life, Compute the amount of Clark's inventory that would be reported in a January 1, 2020, consolidated balance sheet

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