I actually just need the Goodwill

On December 31, Pacifica, Inc., acquired 100 percent of the voting stock of Seguros Company. Pacifica will maintain Seguros as a wholly owned subsidiary with its own legal and accounting identity. The consideration transferred to the owner of Seguros included 60,990 newly issued Pacifica common shares ($20 market value, $5 par value) and an agreement to pay an additional $130,000 cash if Seguros meets certain project completion goals by December 31 of the following year. Pacifica estimates a 50 percent probability that Seguros will be successful in meeting these goals and uses a 4 percent discount rate to represent the time value of money. Immediately prior to the acquisition, the following data for both firms were available: Seguros Book Values Seguros Fair Values $ Revenues Expenses Net income Retained earnings, 1/1 Net income Dividends declared Retained earnings, 12/31 Cash Receivables and inventory Property, plant, and equipment Trademarks Total assets Liabilities Common stock Additional paid-in capital Retained earnings Total liabilities and equities Pacifica $(2,190,000) 1,533,000 $ (657,000) $ (971, 000) (657,000) 157,000 $(1,471,000) $ 203,000 568,000 1,770,000 331,000 $ 2,872,000 $ (526,000) (400,000) (475,000 (1,471,000) $(2,872,000) $ 181,000 157,000 505,000 188,000 $ 1,031,000 $ (255,000) 181,000 142,900 658,000 240,400 $ (255, 000) (200,000) (70,000) (506, 000) $(1,031,000) In addition, Pacifica assessed a research and development project under way at Seguros to have a fair value of $195,000. Although not yet recorded on its books, Pacifica paid legal fees of $18,500 in connection with the acquisition and $8,500 in stock issue costs. a. Prepare Pacifiea's entries to account for the consideration transferred to the former owners of Seguros, the direct combination costs, anet the stock issue anet registration costs. b.&c. Present a worksheet showing the postacquisition column of accounts for Pacifica and the consolidated balance sheet as of the No Transaction General Journal Debit Credit 1 1 1,282,300 Investment in Seguros Common stock Additional paid-in capital Contingent performance obligation 304,950 914,850 62,500 2 2 Professional services expense 18,500 Cash 18,500 3 3 8,500 Additional paid-in capital Cash 8,500 Accounts Pacifica Seguros Debit Credit Consolidated Totals Revenues $ (2,190,000) Expenses Net income $ (2,190,000) 1,551,500 (638,500) 1,551,500 (638,500) Retained earnings, 1/1 Net income (971,000) (638,500) 157,000 $ (1,452,500) (971,000) (638,500) 157,000 Dividends declared Retained earnings, 12/31 $ (1,452,500) Cash $ $ 181,000 157,000 505,000 14,100 $ 176,000 568,000 1,770,000 1,282,300 357,000 710,900 2,428,000 Receivables and inventory Property, plant and equipment Investment in Seguros Research and development asset Goodwill 153,000 0 195,000 195,000 120,360 X 120,360 X Trademarks Total assets $ 3,796,300 $ 843,000 $ 3,811,260 Liabilities Contingent performance obligation Common stock Additional paid-in capital Retained earnings Total liabilities and equities (200,000) 200,000 $ 0 $(200,000) $ 668,360 $ 14,100 0