Omniportal Company purchased Network Enterprises. The following fair values were associated with the items acquired in this business acquisition:

The fair value associated with Network Enterprises€™ government contacts is not based on any legal or contractual relationship. In addition, for obvious reasons, there is no open market trading for intangibles of this sort.
1. Make the journal entry necessary for Omniportal Company to record the purchase if the purchase price is $790,000 cash.
2. Assume that the purchase price is $28,000 cash. Make the journal entry necessary to record thepurchase.

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Cost Fair Value $ 180,000 Accounts receivable Inventory Government contacts Equipment (net) Short-term loan payable $ 180,000 75,000 92,000 84.000 (160,000) $ 271,000 20,000 68,000 (160.000) $208.000 Net assets .