Parsons Corporation purchased 75 percent ownership of Tumble Company on December 31. 20X7, for \(\$ 210,000\). Summarized balance sheet amounts for the companies on December 31, 20X7, prior to the purchase, were as follows:

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Parsons Corporation Book Value Tumble Company Fair Value $ 80,000 120,000 $200,000 $ 80,000 180,000 $260.000 Cash and Inventory $300,000 Buildings and Equipment (net) 400,000 Total Assets $700,000 Common Stock $380,000 $ 90,000 Retained Earnings 320,000 110,000 Total Liabilities and Stockholders' Equity $700,000 $200,000