Please make sure to complete all parts with the work showned, thank you!

On January $1,2023,$ Holland Corporation paid $$7$ per share to a group of Zeeland Corporation shareholders to acquire $60,000$ shares of Zeeland$$s outstanding voting stock, representing a $60$ percent ownership interest. The remaining $40,000$ shares of Zeeland continued to trade in the market close to its recent average of $$6\mathrm{.}00$ per share both before and after the acquisition by Holland. Zeeland$$s acquisition date balance sheet follows:

Current assets $ $15,200$ Liabilities $ $230,000$

Property and equipment $($net$)249,200$ Common stock $100,000$

Patents $205,600$ Retained earnings $140,000$

$ $470,000$ $ $470,000$

On January $1,2023,$ Holland assessed the carrying amount of Zeeland$$s equipment $(5-$year remaining life$)$ to be undervalued by $$67,000.$ Holland also determined that Zeeland possessed unrecorded patents $(10-$year remaining life$)$ worth $$283,900.$ Zeeland$$s acquisition$-$date fair values for its current assets and liabilities were equal to their carrying amounts. Any remaining excess of Zeeland$$s acquisition$-$date fair value over its book value was attributed to goodwill.

The companies$$ financial statements for the year ending December $31,2024,$ follow:

Account Holland Zeeland

Sales $ $(780,900)$ $ $(440,500)$

Cost of goods sold $395,800206,000$

Depreciation expense $98,00032,800$

Amortization expense $15,20019,800$

Other operating expenses $56,80059,900$

Equity in Zeeland earnings $(48,126)0$

Separate company net income $ $(263,226)$ $ $(122,000)$

Retained earnings, $1/1$ $ $(821,400)$ $ $(328,900)$

Net income $(263,226)(122,000)$

Dividends declared $50,00030,000$

Retained earnings, $12/31$ $ $(1,034,626)$ $ $(420,900)$

Current assets $ $126,200$ $ $93,500$

Investment in Zeeland $538,3920$

Property and equipment $($net$)849,000271,000$

Patents $151,400159,500$

Total assets $ $1,664,992$ $ $524,000$

Liabilities $ $(310,366)$ $ $(3,100)$

Common stock$$Holland $(320,000)0$

Common stock$$Zeeland $0(100,000)$

Retained earnings, $12/31(1,034,626)(420,900)$

Total liabilities and owners' equity $ $(1,664,992)$ $ $(524,000)$

At year$-$end, there were no intra$-$entity receivables or payables.

Required:

a$1.$ Compute the amount of goodwill recognized in Holland's acquisition of Zeeland.

a$2.$ Show the allocation of goodwill to the controlling and noncontrolling interest.

b$.$ Show how Holland determined its December $31,2024,$ Investment in Zeeland account balance.

c$.$ Prepare a worksheet to determine the amounts that should appear on Holland$$s December $31,2024,$ consolidated financial statements.

HOLLAND CORPORATION AND ZEELAND CORPORATION

Consolidation Worksheet

For Year Ending December $31,2024$