Exercise 2-12A Your answer is partially correct. Try again. Patel Company issued 105,800 shares of $1 par value common stock market value of $6/share) for the net assets of Seely Company on January 1, 2014, in a statutory merger. Seely Company had the following assets, liabilities, and owners' equity at that time: Cash Accounts receivable Inventory (LIFO) Land Plant assets (net) Total assets Book Value Tax Basis $19,430 116,690 84,490 27,440 391,530 $639,580 Fair Value Difference $19,430 $-0- 116,690 -0- 139,930 55,440 52,910 25,470 466,430 74,900 $795,390 $9,210 58,750 183,200 $-0- -0- (20,800) Allowance for uncollectible accounts Accounts payable Bonds payable Common stock, $1 par value Other contributed capital Retained earnings Total equities $9,210 58,750 204,000 80,920 135,140 151,560 $639,580 Prepare the journal entry to record the assets acquired and liabilities assumed. Assume an income tax rate of 30%. (If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Prepare the journal entry to record the assets acquired and liabilities assumed. Assume an income tax rate of 30%. (If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Account Titles and Explanation Debit Credit Cash 19430 Accounts Receivable 116690 Inventory 139930 Land 52910 Plant Assets 466430 x Goodwill X X Allowance for Uncollecti 9210 Accounts Payable 58750 x Bonds Payable 183200 x X Common Stock X Additional Paid-in Capital X x x