On May 1, Donovan Company reported the following account balances:

Current assets $ 131,000
Buildings & equipment (net) 249,500
Total assets $ 380,500
Liabilities $ 122,500
Common stock 150,000
Retained earnings 108,000
Total liabilities and equities $ 380,500

On May 1, Beasley paid $422,000 in stock (fair value) for all of the assets and liabilities of Donovan, which will cease to exist as a separate entity. In connection with the merger, Beasley incurred $21,300 in accounts payable for legal and accounting fees.
Beasley also agreed to pay $83,000 to the former owners of Donovan contingent on meeting certain revenue goals during the following year. Beasley estimated the present value of its probability adjusted expected payment for the contingency at $21,500. In determining its offer, Beasley noted the following:

Donovan holds a building with a fair value $33,000 more than its book value.
Donovan has developed unpatented technology appraised at $29,600, although is it not recorded in its financial records.
Donovan has a research and development activity in process with an appraised fair value of $45,500. The project has not yet reached technological feasibility.
Book values for Donovan's current assets and liabilities approximate fair values.

What should Beasley record as total liabilities incurred or assumed in connection with the Donovan merger?

How much should Beasley record as total assets acquired in the Donovan merger?

Legal and accounting fees accounts payable $ 21,300
Contingent liability 21,500
Donovan's liabilities assumed 122,500
Liabilities assumed or incurred $ 165,300


Consideration transferred (fair value) $ 443,500
Current assets $ 131,000
Building and equipment 282,500
Unpatented technology 29,600
Research and development asset 45,500
Liabilities (122,500 )
Fair value of net identifiable assets acquired 366,100
Goodwill $ 77,400

Current assets $ 131,000
Building and equipment 282,500
Unpatented technology 29,600
Research and development asset 45,500
Goodwill 77,400
Total assets $ 566,000