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outstanding r Corporation purchased for cash at $10 per share all 100,000 shares of the was $1,400,000. The only asset cof the Tedd Company. The total fair value of all identifiable net assets of Tedd enocurrent asset is property with a fair value of $350,000. The consolidated 14. On June 30, 20X1, Naeder for balance sheet of Naeder and its b. gn ewtraordinary gain of ssocoly owned subsidiary on June 30, 20x1, should reflect gain of $50,000. b. goodwill of $50,000. e. d. an extraordinary gain of $350,000. goodwill of $350,000. Pinehollow-Stonebriar Scenario Pinehollow acquired all of the outstanding stock of Stonebriar by issuing 100,000 s value stock. The shares have a fair value of $15 per share. Pinehollow also paid acquisition costs. Prior to the transaction, the have companies has S25,000 in direct the following balance sheets: Pinchollow Stonebriar S 150,000 S50,000 Assets Cash Accounts receivable Inventory Property, plant, and equipment(net). Total assets 350,000 500,000600,000 900,000 $3.400,000 $1,900,000 uity Current liabilities Bonds payable Common stock ($1 par) Paid-in capital in excess of par Retained earnings Total liabilities and equity s 300,000 100,000 600,000 100,000 900,000 1,000,000 300,000 800,000 53.400.000 $1.900,000 The fair values of Stonebriar's inventory and plant, property and equipment are $700,000 respectively and $1,000,000, 15. Refer to the Pinehollow-Stonebriar Scenario. The journal entry to record the purchase of Stonebriar would include a a. credit to common stock for $1,500,000. b. credit to additional paid-in capital for $1,100,000. c. credit to cash for $1,525,000. d. debit to investment for $1,525,000. Refer to the Pinehollow-Stonebriar Scenario. Goodwill associated with the purchase of Stonebriar is 16. a. $100,000 b. $125,000 c. $300,000 d. $325,000