Retained Earnings

$$8,000$

$$14,000$

Total Liabilities and Equity

$$165,000$

$$73,000$

Answer the following question below:

Question $1$

$5$ pts

On January $1,2022,$ Parent acquired Sub by issuing $$46,000$ in common shares. On that date, Sub's fair value of Current Assets and Fixed Assets were worth $$7,000$ and $$59,000,$ respectively. The fair value of current liabilities on the date of acquisition was $$21,000.$ There was a previously unrecorded patent for the Sub, that can now be recognized, in the amount of $$11,000$

Calculate goodwill on the date of acquisition.Parent and Sub Inc. had the following balance sheets on December $31,2021$:

$\backslash$table$[[,$Parent,Sub$],[$Current Assets,$$65,000,$$$12,000$