On July 1, 2015, Truman Company acquired a 70 percent interest in Atlanta Company in exchange for consideration of $763,175 in cash and equity securities. The remaining 30 percent of Atlanta?s shares traded closely near an average price that totaled $327,075 both before and after Truman?s acquisition. (Please see the attachment. )

On July 1, 2015, Truman Company acquired a 70 percent interest in Atlanta Company in exchange for consideration of $763,175 in cash and equity securities. The remaining 30 percent of Atlanta's shares traded closely near an average price that totaled $327,075 both before and after Truman's acquisition. In reviewing its acquisition, Truman assigned a $104,500 fair value to a patent recently developed by Atlanta, even though it was not recorded within the financial records of the subsidiary. This patent is anticipated to have a remaining life of five years. The following financial information is available for these two companies for 2015. In addition, the subsidiary's income was earned uniformly throughout the year. Subsidiary dividend payments were made quarterly. Revenues Operating expenses Income of subsidiary Net income Retained earnings, 1/1/15 Net income (above) Dividends declared Retained earnings, 12/31/15 Current assets Investment in Atlanta Land Buildings Total assets Liabilities Common stock Additional paid-in capital Retained earnings, $ Truman (715,065) $ 441,000 Atlanta (470,000) 295,000 (53,935) $ (328,000) $ (175,000) $ (920,000) $ (546,000) $ $ (328,000) (175,000) 140,000 90,000 (1,108,000) 516,390 $ (631,000) $ 466,000 785,610 412,000 752,000 $ $ 2,466,000 (858,000) 271,000 652,000 $ $ 1,389,000 (438,000) (95,000) (300,000) (405,000) (20,000) (1,108,000) (631,000) 12/31/15 Total liabilities and stockholder s' equity a. $ (2,466,000) $ (1,389,000) How did Truman allocate Atlanta's acquisition-date fair value to the various assets acquired and liabilities assumed in the combination? b. Consideration transferred by truman Noncontrolling interest fair value Book value of atlanta Fair value in excess of book value Excess fair value assigned: Patent Good will