Exercise 5-9 On January 1, 2013, Point Corporation acquired an 80% interest in Sharp Company for $1,996,000. At that time Sharp Company had common stock of $1,492,000 and retained earnings of $690,000. The book values of Sharp Company's assets and liabilities were equal to their fair values except for land and bonds payable. The land had a fair value of $99,000 and a book value of $80,000. The outstanding bonds were issued at par value on January 1, 2008, pay 10% annually, and mature on January 1, 2016. The bond principal is $493,000 and the current yield rate on similar bonds is 8%. (a) Your answer is partially correct. Try again. Prepare a Computation and Allocation Schedule for the difference between book value and the value implied by the purchase price in the consolidated statements workpaper on the acquisition date. (Round present value factor calculations to 5 decimal places, e.g. 1.25136 and final answers to o decimal places, e.g. 5,125.) Parent Share Non- Controlling Share Entire Value Purchase Price and Implied Value 1,996,000 499.000 2,495,000 Less Book Value of Equity Acquired 1,745,600 Difference between Implied and Book Value 250. ll 8 1 1 2,182,000 313,000 19000 Land i Premium on Bonds Payable 39,379 Balance 203,697 254,621 Goodwill 203697 50,924 T 254,621