Fact Pattern:

On January 2, Parma borrowed $60,000 and used the proceeds to purchase 90% of the outstanding common shares of Seville. Parma had no prior equity interest in Seville. Ten equal principal and interest payments begin December30. The excess of the implied fair value of Seville over the carrying amount of its identifiable net assets should be assigned 60% to inventory and 40% to goodwill. Moreover, the fair value of the noncontrolling interest (NCI) is 10% of the implied fair value of the acquiree. The following are the balance sheets of Parma and Seville on January1:

Parma

Seville

Current assets$70,000$20,000Noncurrent assets

90,000

40,000

Total assets

$160,000

$60,000

Current liabilities$30,000$10,000Noncurrent liabilities50,000--Equity

80,000

50,000

Total liabilities and equity

$160,000

$60,000

Question

On Parmas January 2 consolidated balance sheet, current assets equal

A.$100,000

B.$96,000

C.$90,000

D.$80,000