Presented below are the financial balances for the Boxwood Company and the Tranz Company as of December 31, 2021, immediately before Boxwood acquired Tranz. Also included are the fair values for Tranz Company's net assets at that date. Boxwood Tranz Co. Tranz Co Book Value Book Value Fair Value 12/31/21 12/31/21 12/31/21 Cash $ 870,000 $ 240,000 $ 240,000 Receivables 660,000 600,000 600,000 Inventory 1,230,000 420,000 580,000 Land 1,800,000 260,000 250,000 Buildings (net) 1,800,000 540,000 650,000 Equipment (net) 660,000 380,000 400,000 Accounts payable 570,000 240,000 240,000 Accrued expenses 270,000 60,000 60,000 Long-term liabilities 2,700,000 1,020,000 1,120,000 Common stock ($20 par) 1,980,000 Common stock ($5 par) 420,000 Additional paid-in capital 210,000 180,000 Retained earnings 1,170,000 480,000 Revenues 2,880,000 660,000 Expenses 2,760,000 620,000 Assume a business combination took place at December 31, 2017. Boxwood issued 50,000 shares of its common stock with a fair value of $35 per share for all of the outstanding common shares of Tranz. Stock issuance costs of $15 ,000 and direct costs of $10,000 were paid to effect this acquisition transaction. To settle a difference of opinion regarding Tranzs fair value, Boxwood promises to pay an additional $5,200 to the former owners if Tranzs earnings exceed a certain sum during the next year. Given the probability of the required contingency payment and utilizing a 4% discount rate, the expected present value of the contingency is $5,000 1. Calculate the amount paid (consideration) for the acquisition of Common Shares Tranz Company and prepare the journal entry to record the acquisition 2. Prepare analysis to Determine the Valuation Difference 3. Prepare the journal entries for the consolidation Adjustment 4. Prepare a Working Paper por the Consolidated Balance Sheet as of December 31 2021