Use the following information for the next 11 items voting common stock of Sun Co. for $600,000 cash. On January 1, 2016, Paris Company acquired 80% of the The two companies had the following balance sheets on date of acquisition (Book values). Paris Sun $700,000 $175,000 Current Assets Equipment (Net) Total Assets Current Liabilities Common Stock Additional Paid-in Capital Retained Earnings Total Liabilities and Equity 1,520,000 2,220,000 $soo,000 00550,000 725,000 120,000 80,000 300,000 100,000 900,000 720,000 225,000 2,220,000725,000 On the date of acquisition, the fair values of Sun's assets and liabilities were equal to their book values except for equipment which had a fair value of $650,000. The equipment had a remaining useful life of 10 years and no salvage value. Any remaining excess is goodwill. Paris and Sun had the following information for 2016 and 2017. Paris Sun 2016 Net Income (Internally Generated) Dividends 2017 Net Income (Internally Generated) Dividends $170,000 30,000 $60,000 12,000 200,000 23,000 50,000 14,000