Please show work to solve problem below and get correct answer.

On January 1, 2009, Nichols Company acquired 80% of Smith Company's common stock and 40% of its non-voting, cumulative preferred stock. The consideration transferred by Nichols was $1,200,000 for the common and $124,000 for the preferred. Any excess acquisition-date fair value over book value is considered goodwill.

The capital structure of Smith immediately prior to the acquisition is:

Common stock $10 par value (50,000 o/s) - $500,000 Preferred stock 6% cumlative, 100 par value, 3000 shares o/s - $300,000 Additional paid in capital - $200,000 Retained Earnings - $ 500,000 Total Stockholders equity - $1,500,000

Compute the goodwill recognized in cosolidation: A. 800,000 B. 310,000 C. 124,000 D. 0 E. -196,000 With correct answer being B. 310,000 Compute the noncontrolling interest in Smith at date of acquisition. A. $486,000. B. $480,000. C. $300,000. D. $150,000. E. $120,000. Wtih correct answer being A. 486,000