Patrick Corporation acquired 100 percent of O'Brien Company's outstanding common stock on January 1, for $646,500 in cash. O'Brien reported net assets with a carrying amount of $380,000 at that time. Some of O'Brien's assets either were unrecorded (having been internally developed) or had fair values that differed from book values as follows: Book Values Fair Values Trademarks (indefinite 1ife) Customer relationships (5-year remaining 1ife) Equipment (10-year remaining life) 105,500 262,500 0 79,800 430,000 378,400 Any goodwill is considered to have an indefinite life with no impairment charges during the year Following are financial statements at the end of the first year for these two companies prepared from their separately maintained accounting systems. O'Brien declared and paid dividends in the same period. Credit balances are indicated by parentheses