Part 1. Collins Foods International Inc. is the majority owner of Sizzler Restaurants. The company's balance sheet reports the asset Cost in Excess of Net Assets of Purchased Businesses. Assume that Collins purchased this asset as part of the acquisition of another company, which carried these figures: Book value of assets. Market value of assets Liabilities. $2.4 million 2.8 million 2.2 million Required 1. What is another title for the asset Cost in Excess of Net Assets of Purchased Businesses? 2. Make the journal entry to record Collins's purchase of the other company for $2.7 mil- lion cash. Use the account titled Goodwill. 3. Assume Collins amortizes Cost in Excess of Net Assets of Purchased Businesses over 20 years. Record the straight-line amortization for one year. Use the account titled Goodwill. Part 2. Georgia-Pacific Corporation is one of the world's largest forest products compa- nies. The company's balance sheet includes the assets Natural Gas, Oil, and Coal. Suppose Georgia-Pacific paid $2.8 million cash for the right to work a mine with an esti- mated 100,000 tons of coal. Assume the company paid $60,000 to remove unwanted build- ings from the land and $45,000 to prepare the surface for mining. Further. assume that Georgia-Pacific signed a $30.000 note payable to a company that will return the land surface to its original condition after the lease ends. During the first year. Georgia-Pacific removed 35,000 tons of coal, which it sold on account for $37 per ton. Operating expenses for the first year totaled $252.000, all paid in cash. Required 1. Record all of Georgia-Pacific's transactions, including depletion, for the year. 2. Prepare the company's income statement for its coal operations for the first year. Evaluate the profitability of the coal operations.