Question 3.2 (20 marks) On July 1, 2022, Reeves Corp. purchases Clarke Company by paying $350,000 cash to its owner. As of July 1, 2022, the statement of financial position of Clarke Company is as follows. Shareholders' equity Accounts payable $215,000 220,000 $435,000 Patents Equipment (net) Buildings (net) Land Inventory Accounts receivable Cash $ 25,000 75,000 70,000 30,000 125,000 85,000 25,000 $435,000 The above reported amounts all approximate fair values except for land (fair value of $60,000), inventory (fair value of $130,000), and patents (fair value of $30,000). Instructions: (a) Prepare the July 1 entry for Reeves Corp. to record the purchase of Clarke Company. (b) Assume that on Dec. 31, 2022 the carrying value of the net assets of the new purchased unit, Clarke Division, is $324,000. However, the recoverable amount of Clarkes Division on Dec. 31, 2022 is $276,000. Prepare an entry to record the impairment loss of goodwill, if any