E1-4 Goodwill or gain of bargain purchases in business combination On July 1, Winter Inc. paid $50,000,000 in cash to acquire Summer Inc. Summer was dissolved after the acquisition. Information for the fair values of Summer Inc.'s net assets is as follows (in thousands): Cash Accounts receivable Inventories Plant assets Accounts payable Notes payable January 1 $10,000 20,000 25,000 40,000 14,000 28,000 July 1 $12,000 15,000 32,000 40,000 15,000 25,000 www.downloadslide.net Business Combinations 45 REQUIRED: Calculate the goodwill or the gain from the bargain purchase of the business combination