Garden Fresh, Inc. acquires Snack Time Corporation for $130 million in cash, in a merger. Snack Time’s balance sheet at the date of acquisition is as follows (in millions):

Current assets	$25
Plant and equipment	$90
Intangible assets	$15
Total assets	$130
Current liabilities	$20
Long-term debt	$50
Capital stock	$25
Retained earnings	$35
Treasury stock	$(15)
Total liabilities and equity	$130

A consulting firm values Snack Time’s plant and equipment at $35 million and its reported intangibles at $20 million. Due to declining interest rates, long-term debt has a fair value of $55 million. There are no unreported identifiable intangibles, and all other assets and liabilities are reported at amounts approximating fair value.

Prepare the journal entry Garden Fresh makes to record its acquisition of Snack Time.

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