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Chapter 3 Seved 5 Up V 5 points Francisco Inc. acquired 100 percent of the voting shares of Beltran Company on January 1, 2017. In

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Chapter 3 Seved 5 Up V 5 points Francisco Inc. acquired 100 percent of the voting shares of Beltran Company on January 1, 2017. In exchange, Francisco paid $882,250 in cash and issued 121,000 shares of its own $1 par value common stock. On this date, Francisco's stock had a fair value of $12 per share. The combination is a statutory merger with Beltran subsequently dissolved as a legal corporation. Beltran's assets and liabilities are assigned to a new reporting unit. The following reports the fair values for the Beltran reporting unit for January 1, 2017, and December 31, 2018, along with their respective book values on December 31, 2018 eBook Pring Beltran Reporting Unit Cash Receivables Inventory Patents Customer relationships Equipment (net) Goodwill Accounts payable Long-term liabilities Fair Values 1/1/17 $ 122.500 298,250 319,000 681,000 681,500 386,000 ? (178,000) (532,000) Fair Values 12/31/18 $ 80,500 331,500 358,000 792,000 658,000 289,000 2 (246,000) (448,000) Book Values 12/31/18 $ 80,500 331,500 343,100 636,500 624,750 283,750 556,000 (246,000) (448,000) a. Prepare Francisco's journal entry to record the assets acquired and the liabilities assumed in the Beltran merger on January 1, 2017 b. On December 31, 2018, Francisco opts to forgo any goodwill impairment qualitative assessment and estimates that the total fair value of the entire Beltran reporting unit is $1,989,000. What amount of goodwill impairment, if any, should Francisco recognize on its 2018 income statement? Complete this question by entering your answers in the tabs below. Required A Required B Prepare Francisco's journal entry to record the assets acquired and the liabilities assumed in the Beltran merger on January 1, 2017. (I no entry is required for a transaction/event, select "No journal entry required in the first account field. Show the amount of cash received and paid as two separate amounts.)

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