A B E F G H K L Panther Corporation's balance sheet at January 1, 20X7, reflected the following balances: 2 3 4 Assets 5 Cash & Receivables 6 Inventory 7 Land 8 Buildings & Equipment (net) 9 Total Assets 10 11 Liabilities and Stockholders' Equity 12 Accounts Payable 13 Income Taxes Payable 14 Bonds Payable 15 Common Stock 60000 130000 80000 520000 790000 50000 30000 260000 250000 16 Retained Earnings 17 Total Liabilities & Stockholders' Equity 18 200000 790000 19 Cardinal Corporation, which had just entered into an active acquisition program, acquired 100 percent of Panther's common stock on January 2, 20X7, for 20 $650,000. A careful review of the fair value of Panther's assets and liabilities indicated the following: 21 22 23 24 Land Inventory 25 Buildings & Equipment (net) 26 27 Book value of Cardinal's related accounts: 28 Inventory 29 Land 30 Buildings & Equipment 31 Book Value Fair Value 130000 140000 80000 60000 520000 550000 300000 85000 1200000