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On May 1, Soriano Co. reported the following account balances alonn with thmir estimated fair values On that day, Zambrano paid cash to acquire all

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On May 1, Soriano Co. reported the following account balances alonn with thmir estimated fair values On that day, Zambrano paid cash to acquire all of the assets and liabilities of Soriano, which will cease to exast as a seoarate entily fo facilitate the merger, Zambrano also paid $131,000 to an investment banking firm. The following information was also available: - Zambrano further agreed to pay an extra $84,400 to the former owners of Soriano only if they meet certain revenue goak during the next two years. Zambrano estimated the present value of its probability adjusted expected payment for ths coobingency ot: $42,200. - Soriano has a research and development project in process with an appraised value of $206,000 Homerer, he pacyect has nat in reached technological feasibility and the project's assets have no alternative future use a\&b. Prepare Zambrano's journal entries to record the Soriano acquisition assuming its initial cash payment ou the farmer aurm wan (a) $689,400& (b) $806,200. (If no entry is required for a transaction/event, select "No journal antry requirest in the siat account field.) Journal entry worksheet Record the acquisition of Soriano Co. Assume its initial cash payment to the former owners was $689,400. Record the acquisition of Soriano Co. Assume its initial cash payment to the former owners was $689,400. Record the expenses related to the combination. Assume its initial cash payment to the former owners was $689,400. Note; Enter debits before credits. Record the acquisition of Soriano Co. Assume its initial cash payment to the former owners was $806,200, Noter Enter debits before credits. Record the expenses related to the combination. Assume its initial cash payment to the former owners was $806,200. Note: Enter debits before credits

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