On May 1, Soriano Co. reported the following account balances along with their estimated fair values Carrying Amount Receivables Inventory Copyrights Patented technology 47,300 $ 84,200 150,500 Fair Value 47,300 84,200 554,500 629,000 851,000 Total assets $ 1,133,000 $ 1,315,000 Current liabilities $ 168,000 168,000 636,300 Long-term liabilities Common stock 649,000 100,000 216,000 Retained earnings Total liabilities and equities $ 1,133,000 On that day, Zambrano paid cash to acquire all of the assets and liabilities of Soriano, which will cease to exist as a separate entity. To facilitate the merger, Zambrano also paid $143,500 to an investment banking rm The following information was also available . Zambrano further agreed to pay an extra $72,600 to the former owners of Soriano only if they meet certain revenue goals during the next two years. Zambrano estimated the present value of its probability adjusted expected payment for this contingency at $36,300 Soriano has a research and development project in process with an appraised value of $215,000 However, the project has not yet reached technological feasibility and the project's assets have no alternative future use Prepare Zambrano's journal entries to record the Soriano acquisition assuming its initial cash payment to the former owners was (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) a. $665,800