GKN Steels Limited, a privately-owned company, has 31 December year-end. The company has elected to apply ASPE for its financial reporting. On January 1, 2018, Investor Limited bought 3,000 of the 10,000 outstanding common shares of Investee Inc. for $65,000. Investor Limited has significant influence. On this date, Investee Inc. had assets and liabilities as follows:

As of January 1, 2018
	Book Value	Fair Value
Assets not subject to depreciation	$54,000	$65,000
Assets subject to depreciation (net)	280,500	308,500
Liabilities	180,500	180,500

The difference between book value and fair value were related to land and to equipment (which is estimated to have remaining 5-years of useful life and is depreciated using straight-line method).

At the fiscal year end December 31, 2018, Investee Inc. reported net Income of $50,000, and declared and paid total common dividends of $30,000. Goodwill was not impaired in 2018.

Required:

1. How much goodwill is inherent in the purchase price? (20 marks)