Iron Ltd is taking over the net assets of Man Ltd. The statement of financial position of Man Ltd

immediately before the takeover on 1 July 2020 is as follows:

Carrying amount Fair value Cash $12,000 $12,000 Accounts receivable 60,000 62500 Land 360,000 340,000 Buildings (net) 265,000 275,000 Equipment (net) 160,000 182,000 Plant (net) 120,000 112,500 Vehicles (net) 90,000 92,000 1,067,000 Accounts payable 35,000 35,000 Loan - ABC Bank 245,000 245,000 Share capital 380,000 Retained earnings 407,000 1,067,000