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Exercise No.b The stockholders' equity of Tal Corporation at December 31, 2011, was $380,000, consisting of the following (in thousands): Capital stock, $10 par, (24,000 shares outstanding) $ 240 Additional paid-in capital $ 60 Retained earnings $ 80 Total stockholders' equity $ 380 On January 1, 2012, Tal Corporation, which was in a tight working capital position, sold 12,000 shares of previously unissued stock to Riv Corporation for $250,000. All of Tal's identifiable assets and liabilities were recorded at fair values on this date except for a building with a 10-year remaining useful life that was undervalued by $60,000. During 2012, Tal Corporation reported net income of $120,000 and paid dividends of $90,000. REQUIRED: Prepare all journal entries necessary for Riv Corporation to account for its investment in Tal for 2012