On October 1, 20X3, Pole Corporation paid $450,000 for all of Stick Company's outstanding common stock. On that date, the book values and fair values of Stick's recorded assets and liabilities were as follows: Book Value Fair Value Cash and Receivables $ 75,000 $ 75,000 Inventory 155,000 160,000 Buildings and Equipment (net) 260,000 320,000 Liabilities (150,000 ) (150,000 ) Net Assets $ 340,000 $ 405,000 Based on the preceding information, what amount should be allocated to goodwill in the consolidated balance sheet prepared immediately after the combination?

Multiple Choice

• $110,000.

• $65,000.

• $45,000.

• $0.