Tre Corporation's stockholders' equity at December 31, 2010, consisted of the following (in thousands):
Capital stock, $10 par, 30,000 shares issued and outstanding ...................... $300
Additional paid-in capital ................................................................... 75
Retained earnings ........................................................................... 125
Total stockholders' equity ................................................................ $500
On January 1, 2011, Bow Corporation purchased 10,000 previously unissued shares of Tre stock directly from Tre for $250,000.
Required
1. Calculate Bow Corporation's percentage ownership in Tre.
2. Determine the goodwill from Bow's investment in Tre. Assume the book value of all identifiable assets and liabilities equals the fair value.