On January 1, Coldwater Company has a net book value of $1,792,000 as follows: ...
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| On January 1, Coldwater Company has a net book value of $1,792,000 as follows: |
| 1,100 shares of preferred stock; par value $100 per share; cumulative, nonparticipating, nonvoting; call value $108 per share | $ | 110,000 | ||
| 27,000 shares of common stock; par value $40 per share | 1,080,000 | |||
| Retained earnings | 602,000 | |||
| Total | $ | 1,792,000 | ||
| Westmont Company acquires all outstanding preferred shares for $116,400 and 60 percent of the common stock for $1,074,960. The acquisition-date fair value of the noncontrolling interest in Coldwaters common stock was $716,640. Westmont believed that one of Coldwaters buildings, with a 12-year remaining life, was undervalued by $66,000 on the companys financial records. |
| What amount of consolidated goodwill would be recognized from this acquisition? |
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