On January 1, 2017, Procise Corporation acquired 100 percent of the outstanding voting stock of GaugeRite Corporation for $2,133,050 cash. On the acquisition date, GaugeRite had the following balance sheet: Cash Accounts receivable Land Equipment (net) $ 174,000 Accounts payable 138,000 1,015,000 1,076,000 718,000 $2,947,000 125,000 705,000 Long-term debt Common stock 1,943,0 00 Retained earnings $2,947,000 At the acquisition date, the following allocation was prepared Fair value of consideration transferred Book value acquired Excess fair value over book value 2,133,050 1,794,000 339,050 To in-process research and development To equipment (8-year remaining life) To goodwill (indefinite life) 67,250 124,800 192,050 $ 147,000 Although at acquisition date Procise had expected $67,250 in future benefits from GaugeRite's in-process research and development project, by the end of 2017, it was apparent that the research project was a failure with no future economic benefits On December 31, 2018, Procise and GaugeRite submitted the following trial balances for consolidation. There were no intra-entity payables on that date On January 1, 2017, Procise Corporation acquired 100 percent of the outstanding voting stock of GaugeRite Corporation for $2,133,050 cash. On the acquisition date, GaugeRite had the following balance sheet: Cash Accounts receivable Land Equipment (net) $ 174,000 Accounts payable 138,000 1,015,000 1,076,000 718,000 $2,947,000 125,000 705,000 Long-term debt Common stock 1,943,0 00 Retained earnings $2,947,000 At the acquisition date, the following allocation was prepared Fair value of consideration transferred Book value acquired Excess fair value over book value 2,133,050 1,794,000 339,050 To in-process research and development To equipment (8-year remaining life) To goodwill (indefinite life) 67,250 124,800 192,050 $ 147,000 Although at acquisition date Procise had expected $67,250 in future benefits from GaugeRite's in-process research and development project, by the end of 2017, it was apparent that the research project was a failure with no future economic benefits On December 31, 2018, Procise and GaugeRite submitted the following trial balances for consolidation. There were no intra-entity payables on that date