On August 31, 2020, Southampton Co acquired all of the common stock of Brighton Company, which became a division of Southampton Co. Brighton Company reported the following statement of financial position at the time of the acquisition Brighton Company Statement of Financial Position Assets Equity and Liabilities Plant assets (ne 1) Inventory Receivables Share capital ordinary $1,150,000 $1,350,000 235,000 800,000 422.000 Retained earnings 1,070,000 Accounts payable $87.000 Cash Total assets $2.807.000 Total equity and liabilities $2.807.000 An appraisal indicated that the fair value of the inventory was $372,000 and the fair value of the plant assets was $1,550,000 The agreed purchase price was $1,600,000, and this amount was paid in cash to the previous owners of Brighton Company. Required: a. Prepare the entry to record the purchase of Brighton Company b. Assume that the carrying amount of Brighton Company division's net assets, including goodwill is $2,550,000. The recoverable amount of the division is estimated to be 5 3,000,000. Prepare the journal entry to record the impairment loss (If any) on December 31, 2020