Below are the balance sheets of the Boogie Musical Corporation and the Toot-Toot Tuba Company as of December 31, \(20 \mathrm{X} 5\).

In preparation for a possible business combination, a team of experts from Boogie Musical made a thorough examination and audit of Toot-Toot Tuba. They found that Toot-Toot's assets and liabilities were correctly stated except that they estimated uncollectible accounts at \(\$ 1,400\). They also estimated the market value of the inventory at \(\$ 35,000\) and the market value of the plant and equipment at \(\$ 500,000\). The business combination took place on January 1, 20X6, and on that date Boogie Musical acquired all the assets and liabilities of Toot-Toot Tuba. On that date, Boogie's common stock was selling for \(\$ 55\) per share.
\section*{Required}
Record the combination on Boogie's books assuming that the combination was treated as a purchase and Boogie issued 9,000 of its \(\$ 10\) par common shares in exchange for Toot-Toot's assets and liabilities.

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Assets Cash Accounts Receivable Allowance for Uncollectible Accounts Inventory Plant and Equipment Accumulated Depreciation Other Assets Total Assets Boogie Musical Corporation Balance Sheet December 31, 20X5 Liabilities and Equities $ 23.000 Accounts Payable $ 48.000 85.000 Notes Payable 65.000 (1.200) Mortgage Payable 200,000 192,000 Bonds Payable 200,000 980,000 Capital Stock ($10 par) 500,000 (160.000) Premium on Capital Stock 1,000 14,000 Retained Earnings 118,800 $1,132,800 Total Liabilities and Equities $1.132,800