1: Edina Company acquired the assets and assumed the liabilities of Burns Company on January 1, 2016, paying $2,600,000 cash. Immediately prior to the acquisition, Burns Company's balance sheet was as follows: BOOK VALUE FAIR VALUE Accounts receivable (net) 240,000 220,000 Inventory 290,000 320,000 Land 960,000 1,508,000 Buildings (net) 1,020,000 1,392,000 Total 2,510,000 3,440,000 Accounts payable 270,000 270,000 Note payable 600,000 600,000 Common stock, $5 par 420,000 Other contributed capital 640,000 Retained earnings 580,000 2,510,000 Total Required: Prepare the journal entry necessary for Edina Company to record the acquisition on January 1, 2016