On January 1, 2021, Marshall Company acquired 100 percent of the outstanding common stock of Tucker Company. To acquire these shares, Marshall issued $280,000 in long-term liabilities and 20,000 shares of common stock having a par value of $1 per share but a fair value of $10 per share. Marshall paid $31,500 to accountants, lawyers, and brokers for assistance in the acquisition and another $16,000 in connection with stock issuance costs.

Prior to these transactions, the balance sheets for the two companies were as follows:

Marshall Tucker Company Company Book Value Book Value Cash $ 79 , 200 28,000 Receivables 338, 000 119,000 Inventory 370,000 193,000 Land 279,000 221, 000 Buildings (net) 483,000 245,000 Equipment (net) 203,000 69,900 Accounts payable (182 , 000) (49, 500) Long-term liabilities (464, 000) (280 , 000) Common stock-$1 par value (110, 000) Common stock-$20 par value (120, 000) Additional paid-in capital (360, 000) 0 Retained earnings, 1/1/21 (636, 200) (426, 400) Note: Parentheses indicate a credit balance