On May 1, Burns Corporation acquired 100 percent of the outstanding ownership shares of Quigley Corporation in exchange for $755,000 cash. At the acquisition date, Quigley's book and fair values were as follows: Cash Receivables Inventory Land Building and equipment (net) Patented technology Total assets Accounts payable Long-term liabilities Common stock ($5 par value) Additional paid-in capital Retained earnings Total liabilities and stockholders equity Book Value $ 108,000 202,000 219,000 133,500 279,000 0 $ 941,500 $ 129,000 528,000 210,000 90,000 (15,500) $ 941,500 Fair Value $ 108,000 202,000 282,000 100,500 352,000 220,000 $ 1,264,500 $ 129,000 528,000 Burns directs Quigley to seek additional financing for expansion through a new long-term debt issue. Consequently, Quigley will issue a set of financial statements separate from that of its new parent to support its request for debt and accompanying regulatory filings. Quigley elects to apply pushdown accounting in order to show recent fair valuations for its assets. Prepare a separate acquisition-date balance sheet for Quigley Corporation using pushdown accounting. QUIGLEY CORPORATION Balance Sheet May 1 Liabilities and stockholders' Equity Assets