In February 2015, Arctic Cat Inc., acquired the assets and liabilities of MotorFist, LLC, a privately owned company based in Idaho Falls, Idaho, in exchance for $9.118 million in cash and contingent consideration. Referring to Arctic Cats's 2015 annual 10-K report, answer the following questions regarding the MotorFist acquisition.

1. Why did Arctic Cat acquire MotorFist?

2. How was the cosideration transferred allocated between cash paid and the contingent consideration?

3. Provide a schedule showing Arctic Cat's allocations of the consideration transferred to the identifiable assets acquired and liabilities assumed with the remainder going to goodwill.

4. What is the maximum potential contingent payout to the former owners of MotorFist?

CONSOLIDATED BALANCE SHEETS March 31, 2015 2014 ASSETS Current Assets Cash and cash equivalents .......................................... $ 40,253,000 $ 22,524,000 Short-term investments ............................................. 1,009,000 60,008,000 Accounts receivable, less allowances .................................. 28,695,000 42,003,000 Inventories ....................................................... 152,443,000 140,652,000 Prepaid expenses .................................................. 5,363,000 3,815,000 Income taxes receivable ............................................ 5,151,000 1,323,000 Deferred income taxes .............................................. 14,485,000 14,971,000 Total current assets ............................................ 247,399,000 285,296,000 Property and Equipment Machinery, equipment and tooling ............................... 194,074,000 181,028,000 Land, building and improvements ................................ 30,004,000 29,758,000 224,078,000 210,786,000 Less accumulated depreciation .................................. 161,210,000 154,855,000 62,868,000 55,931,000 Goodwill, intangibles and other assets ................................ 6,579,000 1,067,000 $316,846,000 $342,294,000 LIABILITIES AND SHAREHOLDERS EQUITY Current Liabilities Accounts payable .............................................. $ 70,691,000 $ 93,882,000 Accrued expenses .............................................. 53,942,000 54,659,000 Total current liabilities ................................. 124,633,000 148,541,000 Deferred income taxes .............................................. 11,151,000 8,710,000 Other liabilities ................................................... 690,000 Commitments and Contingencies .................................... Shareholders Equity Preferred stock, par value $1.00; 2,050,000 shares authorized; none issued ..................................................... Preferred stockSeries B Junior Participating, par value $1.00; 450,000 shares authorized; none issued .......................... Common stock, par value $.01; 37,440,000 shares authorized; shares issued and outstanding: 12,949,702 at March 31, 2015 and 12,882,705 at March 31, 2014 ........................................... 130,000 129,000 Additional paid-in-capital ....................................... 1,940,000 Accumulated other comprehensive loss ........................... (7,142,000) (2,110,000) Retained earnings ............................................. 185,444,000 187,024,000 Total shareholders equity .................................. 180,372,000 185,043,000 $316,846,000 $342,294,000