2. Son Corporation’s stockholders’ equity at December 31, 2016, follows (in thousands):

Capital stock, $100 par $3,000 Additional paid-in capital 500 Retained earnings 500 Total stockholders’ equity $4,000 On January 3, 2017, Son sells 10,000 shares of previously unissued $100 par common stock to Pop Corporation for $1,400,000. On this date the recorded book values of Son’s assets and liabilities equal fair values. Goodwill from Pop’s investment in Son at the date of purchase is:

a $0 b $50,000 c $300,000 d $400,000