PLE Corp. purchased 100% of the outstanding voting shares of SPP Inc. on December 31, 20X4. On this date, SPP reported $200,000 in common shares and $420,000 in retained earnings. The following AD schedule has been provided regarding the purchase: AD and amortization schedule Acquisition (SFP) SCI SFP SCI SFP 12/31/20X4 20X5 12/31/20X5 20X6 12/31/20X6 Inventory $ 35,000 $ 35,000 $ $ $ Land 170,000 170,000 170,000 Building and equipment 315,000 31,500 283,500 31,500 252,000 Long-term debt (215,000) (86,000) (129,000) (86,000) (43,000) Goodwill 300,500 300,500 20,500 280,000 $ 605,500 $ (19,500) $ 625,000 $ (34,000) $ 659,000 4. Which of the following statements are true? i. The value of consideration given by PLE to acquire 100% of SPP on December 31, 20X4, was $1,225,500. ii. At acquisition, long-term debt had a fair value less than book value. iii. The AD at acquisition of $605,500 represents the price paid for the net assets in excess of the book value. a) (i), (ii), and (iii) b) (i) and (ii) c) (ii) and (iii) d) (i) and (iii) 5. During 20X6, in their legal entity income statements, PLE reported $140,000 of interest expense, and SPP reported $190,000. What amount would be reported as consolidated interest expense on the consolidated SCI? a) $244,000 b) $287,000 c) $296,000 d) $416,00