The balance sheets for Pablo Corporation and Diego Corporation at December 31, 2016 are summarized as follows (in thousands): Pablo Corporation Diego Corporation Book Value Fair Value Book Value Fair Value $100 50 $40 30 80 30 150 $100 50 130 50 150 100 $580 Assets Cash Receivables-net Inventories Land Buildings-net Equipment-net Total assets Equities Accounts payable Other liabilities Common stock, $10 par Other paid-in capital Retained earnings Total equities 70 $40 30 100 50 100 75 $395 100 200 150 $750 50 $300 $ 80 90 $ 50 45 $ 80 100 200 100 100 $580 $ 50 75 100 25 50 $300 On January 1, 2017, Pablo Corporation acquired all of Diego Corporation's outstanding common stock for $250,000. Pablo paid $50,000 in cash and issued a five-year, 10 percent note for the balance. Diego was dissolved. 1. Prepare a schedule to show how the investment cost is allocated to identifiable assets and liabilities. 2. Prepare a balance sheet for Pablo Corporation on January 1, 2017, immediately after the acquisition