1. What is the goodwill at the acquisition date?

2. What is the ECOBV amortization?

3. Determine the unrealized gain on the sale of the building from Moore to Kirby in 2020

4. Determine the unrealized profits on the transfer of inventory from Kirby to Moore in 2020 and 2021?

Following are financial statements for Moore Company and Kirby Company for 2021: Moore (800,000) 500,000 100,000 Kirby (600,000) 400,000 160,000 (1,025,970) 2 130,000 (40,000) (550,000) (40,000) 0 (590,000) Sales Cost of Goods Sold Operating and Interest expense Equity in Kirby's earnings Net Income Retained earnings 1/1/21 Net Income Dividend paid Retained earnings 12/31/21 Cash and receivables Inventory Investment in Kirby Equipment (net) Buildings Accumulated depreciation Buildings Other Assets Total Assets Liabilities Common Stock Retained earnings, 12/31/21 Total Liabilities and equity 217,000 224,000 ? 600,000 1,000,000 (100,000) 200,000 2 (1,138,000) (600,000) 2 180,000 160,000 0 420,000 650,000 (200,000) 100,000 1,310,000 (570,000) (150,000) (590,000) (1,310,000) Moore purchased 90% of Kirby on January 1, 2020, for $657,000 in cash. On that date, the 10% noncontrolling interest was assessed to have a $73,000 fair value. Also at the acquisition date, Kirby held equipment (4-year remaining life) undervalued on the financial records by $20,000 and interest-bearing liabilities (5-year remaining life) overvalued by $40,000. The rest of the excess fair value over book value was assigned to previously unrecognized brand names and amortized over a 10-year life. During 2020 Kirby earned Net Income of $80,000 and paid no dividends. Each year Kirby sells Moore inventory at a 20% gross profit rate. Intra-entity sales were $145,000 in 2020 and $160,000 in 2021. On January 1, 2021, 30% of the 2020 transfers were still on hand and, on December 31, 2021, 40% of the 2021 transfers remained. Moore sold Kirby a building on January 2, 2020. It had cost Moore $100,000 but had $90,000 in accumulated depreciation at the time of this transfer. The price was $25,000 in cash. At that time the building had a five-year remaining life. Following are financial statements for Moore Company and Kirby Company for 2021: Moore (800,000) 500,000 100,000 Kirby (600,000) 400,000 160,000 (1,025,970) 2 130,000 (40,000) (550,000) (40,000) 0 (590,000) Sales Cost of Goods Sold Operating and Interest expense Equity in Kirby's earnings Net Income Retained earnings 1/1/21 Net Income Dividend paid Retained earnings 12/31/21 Cash and receivables Inventory Investment in Kirby Equipment (net) Buildings Accumulated depreciation Buildings Other Assets Total Assets Liabilities Common Stock Retained earnings, 12/31/21 Total Liabilities and equity 217,000 224,000 ? 600,000 1,000,000 (100,000) 200,000 2 (1,138,000) (600,000) 2 180,000 160,000 0 420,000 650,000 (200,000) 100,000 1,310,000 (570,000) (150,000) (590,000) (1,310,000) Moore purchased 90% of Kirby on January 1, 2020, for $657,000 in cash. On that date, the 10% noncontrolling interest was assessed to have a $73,000 fair value. Also at the acquisition date, Kirby held equipment (4-year remaining life) undervalued on the financial records by $20,000 and interest-bearing liabilities (5-year remaining life) overvalued by $40,000. The rest of the excess fair value over book value was assigned to previously unrecognized brand names and amortized over a 10-year life. During 2020 Kirby earned Net Income of $80,000 and paid no dividends. Each year Kirby sells Moore inventory at a 20% gross profit rate. Intra-entity sales were $145,000 in 2020 and $160,000 in 2021. On January 1, 2021, 30% of the 2020 transfers were still on hand and, on December 31, 2021, 40% of the 2021 transfers remained. Moore sold Kirby a building on January 2, 2020. It had cost Moore $100,000 but had $90,000 in accumulated depreciation at the time of this transfer. The price was $25,000 in cash. At that time the building had a five-year remaining life