Acquisition Costs Assume the same information from Exercise 3-8. In addition, Peep Inc. incurred the following direct costs: LO7 Accounting fees for the purchase $15,000 Legal fees for registering the common stock 30,000 Other legal fees for the acquisition 45,000 Travel expenses to meet with Shy managers 5,000 SEC filing fees 2,000

$97,000 Before the acquisition consummation date, $90,000 of the direct costs was charged to a deferred charges account pending the completion of the acquisition. The remaining

$7,000 has not been accrued or paid, Required:

Prepare the journal entry to record both the acquisition and the direct costs.