10) On January 2, Parma borrowed $60,000 and used the proceeds to purchase 80% of the outstanding common shares of Seville. Parma had no prior equity interest in Seville. Ten equal principal and interest payments begin December 30. The excess of the implied fair value of Seville over the carrying amount of its identifiable net assets, if any, should be assigned 60% to inventory and 40% to goodwill. Moreover, the fair value of the non- controlling interest (NCI) is 20% of the implied fair value of the acquiree.

The following are the balance sheets of Parma and Sevlle on Jan. 1

Parma Sevlle

Current assets $70,000 $20,000

Noncurrent assets 90,000 40,000

Total assets 160,000 $60,000

Current liabilities 30,000 10,000

Noncurrent liabilities 50,000 ------

Equity 80,000 50,000

Total liabilities and equity 160,000 $60,000

On Parmas January 2 Consolidated balance sheet, noncurrent assets equal ? ( Please show work)

1. $130,000
2. $134,000
3. $136,667
4. $140,000