Consolidated Balance Sheet Working Paper, Date of Acquisition, Bargain Purchase On January 1, 2019, Paxon Corporation acquired 80 percent of the outstanding common stock of the Saxon Company for $1.4 billion cash. The balance sheets of Paxon and Saxon, immediately prior to the combination, follow: (in millions) Assets Cash and receivables Inventory Equity method investments Land Buldings and equipment, net Total assets Liabilities and shareholders' equity Current liabilitiess Long term debt Common stock, par value Additional paid-in capital Paxon Saxon $2,860 $720 1,700 900 300 650 175 2,400 600 $7.610 $2.695 $1,500 $1,000 2.000 400 500 100 1,200 350 Retained earnings 2,410 845 Total liabilities and shareholders' equity $7,610 $2.695 Several of Saxon's assets and liabilities had fair values that were different from their book values. Estimates of the fair values of these items follow: (in millions) Inventory Equity method investments Land Buildings and equipment, net Estimated fair value $800 250 420 900 In addition, Saxon had previously unrecorded identifiable intangible assets valued at $110 million. The estimated fair value of the noncontrolling interest in Saxon is $200 million.