On January 1 , Year 2, Taylor Corp. acquired 100% of the outstanding shares of Toronto Inc. for a total cost of $226,200. The carrying amount and fair value of Toronto's assets and liabilities on this date were as follows: On January 1 , Year 2, the buildings and trademarks had an estimated useful life of ten and fifteen years, respectively. The long-term debt is due on December 31, Year 6. A goodwill impairment test in Year 4 indicated a value of $23,000 for Toronto's goodwill. There were n other impairment losses. Required (a) Prepare a schedule of changes to the acquisition differential for each year from the date of acquisition to the end of Year 4 . (b) Now assume that Taylor had only acquired 70% of the common shares of Toronto at a cost of $147,000. Briefly explain how this would change the amounts calculated in part (a)