Arizona Corporation acquired the business Data Systems for $$360,000$ cash and assumed all liabilities at the date of purchase. Data$$s books showed tangible assets of $$420,000,$ liabilities of $$27,000,$ and stockholders$$ equity of $$393,000.$ An appraiser assessed the fair market value of the tangible assets at $$350,000$ and liabilities at $$27,000$ at the date of acquisition. Arizona Corporation$$s financial condition just prior to the acquisition is shown in the following statements model.

Balance Sheet Income Statement

Assets $=$ Liabilities $+$ Stockholders$$ Equity Revenue $$ Expenses $=$ Net Income Statement of Cash Flows

Cash $+$ Tangible Assets $+$ Goodwill

$620,000+$ NA $+$ NA $=$ NA $+620,000$ NA $$ NA $=$ NA NA

Required

a$.$ Compute the amount of goodwill acquired.

b$.$Record the acquisition in a financial statements model. Arizona Corporation$$s financial condition just prior to the acquisition is shown in the financial statements model.

c$.$Record the acquisition in general journal format.