of Cincinnatus Company paid $5,000,000 to acquire theSproyer Corporation, which became a division-of Cincinnatus. The acquisition wasfinalized January 1, 2016. Sproyer reported the following balance sheet at the time of the acquisition: Current assets $500,000 Noncurrent assets 4,700,000 Total assets Current liabilities $250,000 350,000 4.600,000 $5,200,000 Total liabilities and stockholders' equity $5,200.000 Long-term liabilities Stockholders' equity At the date of the purchase the fair value of the identifiable net assets of Sproyer was $4,675,000. At December 31, 2016, Sproyer reports the following balance sheet information: DR (CR) Current assets $550,000 Noncurrent assets (including goodwill recognized in purchase) 4,900,000 Current liabilities (450,000) Long-term liabilities (500,000) Stockholders' Equity (4,500,000) The 12/31/16 fair value of the Sproyer division was determined to be $4,375,000. The recorded amount for Sproyer's net assets (excluding goodwill) is the same as fair value, except for property, plant, and equipment, which has a fair value of $75,000 above the carrying value. On 12/31/16, Goodwill reported on the balance sheet is Select one: O a. $200,000 O b. $125,000 Oc. $275,000 Od. $50,000 Oe. $25,000