Brown Company is considering the purchase of Orange Company. Orange Company has supplied the following information: Book Value of Identifiable Assets: 882000 Estimated Market Value of Identifiable Assets: 759000 Total Liabilities: 208000 Total cumulative net cash earnings for the past eight years of 583000 includes extraordinary cash gains of 78000 and nonrecurring cash losses of 74000. Brown Company expects a return on investment of 15%. Brown uses cash earnings to estimate its offering price and it estimates valuation of Orange to be equal to the present value of cash-based earnings, discounted over 8 years. 1. The offering price that Brown is willing to pay is 324769.9 goodwill associated with this amount is 226230.10 2. If final purchase price is 888000, the amount of goodwill actually recorded is 329000 x. 324768.3375 and