Problem $5-20($Static$)$ Acquisition Price LO $5-1$

Summer Company holds assets with a fair value of $$120,000$ and a book value of $$90,000$ and liabilities with a book value and fair value of $$25,000.$

Required:

Compute the following amounts if Parade Corporation acquires $60$ percent ownership of Summer:

What amount did Parade pay for the shares if no goodwill and no gain on a bargain purchase are reported?

What amount did Parade pay for the shares if the fair value of the noncontrolling interest at acquisition is $$54,000$ and goodwill of $$40,000$ is reported?

What balance will be assigned to the noncontrolling interest in the consolidated balance sheet if Parade pays $$73,200$ to acquire its ownership and goodwill of $$27,000$ is reported?