On November 1, 2018, Vernon Corporation acquired Barlow Enterprises for a cash payment of $800,000. At the time of purchases, Barlow's balance sheet showed assets of $610,000, liabilities of $240,000, and owner's equity of $420,000. The fair value of Barlow's assets is estimated to be $970,000 and the fair value of Barlow's liabilities is estimated to be the same as the book value of its liabilities. Instruction

a. Compute the amount of goodwill acquired by Vernon.

b. Prepare the journal entry to record Vernons acquisition of Barlow.