On December 31, 2015, Bryant Company exchanges 10,000 of its $10 par value shares for a 90% interest in Jones Company. The purchase is recorded at the $72 per-share fair value of Bryant shares. Jones Company has the following balance sheet on the date of the purchase:

It is determined that the following fair values differ from book values for the assets of Jones Company:
Inventory .. . . . . .. . .... .. .... .. . . . . . .. . . . . .. $200,000
Depreciable fixed assets (net) . .. ... . . .. .. . . .. . 500,000 (20-year life)
Investment in marketable securities . . . . . . .. . . . 70,000
The purchase is a tax-free exchange to the seller, which means Bryant Company will use the book value of Jones’s assets for tax purposes. Jones Company has $200,000 of tax loss carryovers. Bryant will be able to utilize $40,000 of the losses to offset taxes to be paid in 2016. The balance of the tax loss carryover will not be used within a year but is considered fully realizable in the future. The tax rate for both firms is 30%.
Required
Record the investment and prepare a value analysis schedule and a determination and distribution of excess schedule

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Assels Liabilities and Equi Cash Accounts receivable Inventory Investment in marketable -. .. .100,000 Current liabilities Deferred rental income Bonds payable Common stock ($10 par.. ....$ 130,000 120,000 250,000 100,000 200,000 150,000 150,000 400,000 Paid-in capital in excess of par securities Depreciable fixed assets 150,000 250,000 Retained earnings Total assets $1,000,000 Total liabilities and equity $1,000,000