On Jan $,12024,$ NCDA Incorporated purchased $6,000$ shares of the outstanding common stock of MT Corporation at acost of $$140,000.$ MT had $30,000$ shares of outstanding common stock. The total bok value and total fair value of MT$\text{'}$ individual net asets on Jan $1,2024,$ are $$600,000$ and $$650,000,$ respectively. Asume that fair market value increments $($i$.$e$.,$ the difference between the fair

and book value of Brothers' assets$)$ are depreciated

using straight$-$line over years$).$ The total fair value of hte $30,000$ shares of MT$\text{'}$s common stock on December $31,2024,$ si $$760,000.$ Both companies have a January through December fiscal year. The folowing data pertains ot Mountain Corporation during $2024$:

Dividends declared and paid, January $1-$ December $31$: $ $12,000$

Netincome, January $1-$December $31$: $$18,000$

$1)$ Assume NCDA wil have significant influence over the financial and operating

policies of MT$,$ compute the goodwill $($if any$)$ on the acquisition.

$2)$ Prepare the necesary entries of NCDA for $2024$ under the equity method.

$3)$ Prepare any necessary entries of NCDA for $2024$ that would be required if the

securities were accounted for under the fair value through net income method.