Acquisition Financials Lambda Ltd was incorporated on 1 April 2018 and took over the business of Omicron Corp. from 1 January 2018. The purchase price was $600,000, paid on 30 June 2018, with $30,000 interest. Below is the profit and loss account for the year ending 31 December 2018:

Account	Amount
Sales	800,000
Cost of goods sold	400,000
Gross profit	400,000
Wages and salaries	110,000
Rent	30,000
Distribution expenses	25,000
Interest paid to vendors	30,000
Depreciation	20,000
Miscellaneous expenses	15,000
Net profit	70,000

Required: a. Show the allocation of profits between pre- and post-incorporation periods. b. Prepare the journal entries for the acquisition. c. Calculate the goodwill arising from the acquisition.