The stockholders' equities of Pam Corporation and its 80 percent-owned subsidiary, Sun Corporation, on December 31, 2016, are as follows (in thousands):

Pam's Investment in Sun account balance on December 31, 2016, is equal to its underlying book value. On January 2, 2017, Sun issued 60,000 previously unissued common shares directly to Pam at $25 per share.
REQUIRED
1. Calculate the balance of Pam's Investment in Sun account on January 2, 2017, after the new investment is recorded.
2. Determine the goodwill, if any, from Pam's purchase of the 60,000 new shares.

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Pam Sun Common stock, $10 par Retained earnings $10,000 $6,000 3,000 $9,000 4,000 Total Stockholders' Equity $14000 9000