On August 15, 2013, Willis Inc. acquired all of the outstanding common stock of Bork Inc. paying $7,400,000 cash. The book values and fair values of Willis' assets and liabilities are listed below:

Required:
Prepare the journal entry to record the acquisition by Willis Inc.

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Book Value Fair Value Accounts Receivable 1,080,000 1,620,000 975,000 2,400,000 6,975,000 Inventories Property, Plant and equipment Accounts Payable Bonds Payable 5,400,000 1,800,000 1,800,000 2,700,000 2,475,000