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On December $31,$ Pacifica Inc., acquired $100$ percent of the voting stock of Seguros Company. Pacifica will maintain Seguros as a wholly owned subsidiary with its own legal and accounting identity. The consideration transfered to the owner of Seguros included $50,000$ newly issued Pacifica common shares $($$$20$ market values, $$5$ par value$)$ and an agreement to pay an additional $$130,000$ cash if Seguros meets certain proejct completion goals by December $21$ of the following year. Pacifica estimates a $50$ percent probability that Seguros will be successful in meeting these goals and uses a $4$ percent discount rate to represent the time value of money.

Immediately prior to the acquistion, the following data for both firms were available:$\backslash$table$[[,$Pacifica,Seguros $-$ Book Values,Seguros $-$ Fair Values$],[$Revenues$,$$$(1,200,000),,],[$Expenses$,875,000,,],[$Net Income,$$(325,00),,],[$Retained earnings, $\frac{1}{1},$$$(950,000),,],[$Net income,$(325,000),,],[$Dividends declared,$90,000,,],[$Retained earnings, $\frac{12}{31},$$$(1,185,000),,],[$Cash$,$$$110,000,$$$85,000,180,000],[$Receivables and inventory,$750,000,190,000,600,000],[$Property$,$ plant, and equipment,$1,400,000,450,000,200,000],[$Trademarks$,300,000,$$$160,000,],[,$$$2,560,000,$$$885,000,],[$Liabilites$,$$$(500,000),$$$(180,000),],[$Common Stock,$(400,000),(200,000),],[$Additional paid$-$in capital,$(475,000),(70,000),],[$Retained earnings,$(1,185,000),(435,000),],[,$$$(2,560,000),$$$(885,000),],[$Total liabilies and equities,,,$]]$ In addition, Pacifica assessed a research and development project under way at Seguros to have a fair value of $$100,000.$ Although not yet recorded on its books, Pacifica paid legal fees of $$15,000$ in connection with the acquisition and $$9,000$ in stock issue costs.

Prepare the following:

Pacifica's journal entries to record the consideration transferred to the former owners of Seguros, the direct combination costs, and the stock issue and registration costs. $($Use a $0\mathrm{.}971538$ present value factor where applicable.$)$

A postacquistion column of account for Pacifica.

A worksheet to produce a consolidated balance sheet as of the acquisition date.

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