Salem Co. had the following account balances as of Feb. 1, 2015. Inventory $720,000, Land...
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Salem Co. had the following account balances as of Feb. 1, 2015. Inventory $720,000, Land $600,000, Building net (valued at $1,200,000) $1,080,000, Common stock $10 par value $960,000, Retained earnings, Jan. 1, 2015 $1,320,000, Revenue $720,000, Expenses $600,000. Bellington Inc, paid $1,700,000 in cash and issued 12,000 shares of its $30 par value common stock (valued at $90 per share) for all of Salems outstanding common stock. This investment is accounted for using the purchase method. Determine the balance for goodwill that would be included in a Feb. 1, 2015 Consolidation.
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