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On January 1, 2019, Pitorro Corporation purchased 80% of the common stock of Soda Co. Separate balance sheet data for the companies at the acquisition date (after the acquisition) are given below:

SELECT THE BEST ANSWER (Shows references and computations are required) (15 points) 1. What amount of Inventory will be reported? A. $169,000 B. $170,000 C. $186,500 D. $192,000 2. What amount of Goodwill will be reported? A. $54,400 B. $68,000 C. $72,000 D. $90,000

3. What amount of Goodwill is own by Noncontrolling Interest on Soda Co.? A. $ 000 B. $18,000 C. $68,000 D. $80,000

4. What amount of total liabilities will be reported? A. $206,000 B. $278,400 C. $319,600 D. $348,000 5. What is the reported amount for the noncontrolling interest? A. $ 80,000 B. $ 84,400 C. $ 98,000 D. $122,500 6. What is the amount of consolidated Retained Earnings? A. $224,000 B. $259,200 C. $304,000 D. $324,000 7. What is the amount of total assets? A. $1,380,000 B. $1,402,000 C. $1,470,000 D. $1,875,000

Cash Accounts Receivable Inventory Land Plant assets Accum. Depreciation Investment in Soda Co. Total assets Pitorro $34,000 144,000 132,000 68,000 700,000 (240,000) 392,000 $ 1,230,000 Soda $206,000 26,000 38,000 32,000 300,000 (60,000) $ 542.000 Accounts payable Capital stock Retained earnings Total liabilities & equities $206,000 800,000 224,000 $ 1,230,000 $142,000 300,000 100,000 $542,000 At the date of the acquisition, the book values of Soda's net assets were equal to the fair value except for Soda's inventory, which had a fair value of $60,000

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