APA-8 (Algo) Analyzing Goodwill and Reporting a Merger LO A-4 [The following information applies to the questions displayed below.] On June 1, Gamma Company acquired all of the net assets of Pi Company for $152,000 cash. The two companies merged, with Gamma Company surviving. On the date of acquisition, Pi Company's balance sheet included the following: On the date of acquisition, the inventory had a fair value of $19,500 and the property and equipment had a fair value of $192,000. The fair value of the liabilities equaled their book value. Required: 1. How much goodwill was involved in this merger? 2. Prepare the journal entry that Gamma Company would make to record the merger on June 1. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Journal entry worksheet Note: Enter debits before credits