Problem 5-3 (LO 2) 80%, cost method, straight-line bonds, fixed asset sale. On January 1, 20X3, Warehouse Outlets had the following balances in its stockholders’ equity accounts: Common Stock ($10 par), $800,000; Paid-In Capital in Excess of Par, $625,000; and Retained Earnings, $450,000. General Appliances purchased 64,000 shares of Warehouse Outlets’ common stock for $1,700,000 on that date. Any excess of cost over book value was attributed to goodwill.