b)prepare the journal entry for ABE to record the purchase of ERB

Abe Manufacturing Corp. decided to expand further by purchasing the net assets of ERB Manufacturing Corp. ERB's statement of financial position at December 31, 2020 follows. ERB MANUFACTURING CORP. Statement of Financial Position December 31, 2020 Assets Cash Receivables. Inventory. Plant assets (net). Total assets.. $ 210,000 450,000 275,000 1.025,000 $ 1.960.000 Liabilities and Equities Accounts payable........ $325,000 Common Shares ............ 800,000 Retained earnings...._835.000 Total equities............. 5 1.960.000 An appraisal, agreed to by both parties, indicated that the fair value of the inventory was $ 320,000 and the fair value of the plant assets was $ 1,225,000. The fair value of the receivables and payables is equal to the amount reported on the balance sheet. The agreed purchase price was $ 3 million, and this amount was paid in cash to the owners of ERB Instructions (show all calculations) a. Calculate the amount of goodwill (if any) implied in the purchase price of $ 3 million. Show all components clearly in your calculations