On January 1, 20X5, Pirate Company acquired all of the outstanding stock of Ship Inc., a Norwegian company, at a cost of $162,000 Ship's net assets on the date of acquisition were 780,000 kroner (NKr). On January 1, 20X5, the book and fair values of the Norwegiarn subsidiary's identifiable assets and liabilities approximated their fair values except for property, plant, and equipment and patents acquired. The fair value of Ship's property, plant, and equipment exceeded its book value by $18,000. The remaining useful life of Ship's equipment at January 1, 20X5, was 10 years. The remainder of the differential was attributable to a patent having an estimated useful life of 5 years. Ship's trial balance on December 31, 20X5, in kroner, follows Debits Credits Cash Accounts Receivable (net) Inventory Property, Plant & Equipment Accumulated Depreciatiorn Accounts Payable Notes Payable Common Stock Retained Earnings Sales Cost of Goods Sold Operating Expenses Depreciation Expense Dividends Paid Total NKr 157,000 213,000 278,000 625,000 NKr 165,100 103,000 196,000 440,000 340,000 673,900 412,500 124,000 55,000 53, 500 NKr1,918,000 NKr1,918,000 Additionel Information: 1. Ship uses the FIFO method for its inventory. The beginning inventory was acquired on December 31, 20Xx4, and ending inventory was acquired on December 15, 20X5. Purchases of NKr420,000 were made evenly throughout 20X5 2. Ship acquired all of its property, plant, and equipment on July 1, 20X3, and uses straight-line depreciation 3. Ship's sales were made evenly throughout 20x5, and its operating expenses were incurred evenly throughout 20X5 4. The dividends were declared and paid on July 1, 20X5 5. Pirate's income from its own operations was $229,000 for 20X5, and its total stockholders equity on January 1, 20X5, was $3,600,000. Pirate declared $160,000 of dividends during 20X5