On January 1, the balance sheet of Naperville Company was as follows.

Assets
Accounts receivable (net of allowance)		$96,000
Inventory		144,000
Plant and equipment (net of depreciation)		320,000
Land		48,000
Total assets		$608,000
Liabilities
Current	$60,800
Noncurrent	128,000	$188,800
Equity
Equity		419,200
Total liabilities and equity		$608,000

On January 1, Chicago Corporation purchased all of the assets and assumed all of the liabilities listed on the above balance sheet for $464,000 cash. The assets, on date of purchase, were valued by Chicago Corporation as follows: Accounts receivable (net), $80,000; Inventory, $136,000; Plant and equipment (net), $320,000; and Land, $72,000. In addition, Chicago Corporation estimated purchased intangible assets of $3,200 for customer list, and $12,800 for trade names (both previously unrecorded). The liabilities were valued at their carrying amounts.

Required a. Compute the amount of goodwill included in the purchase price paid by Chicago Corporation. b. Provide the entry that Chicago Corporation should make to record the purchase of Naperville Company. c. What is the minimum amount of goodwill that Chicago Corporation can amortize at the end of the year? Chicago Corp. is not a private company.

a. Amount of goodwill in purchase price