Wilson Corporation acquires Great-batch Company for $50 million cash in a statutory merger. The balance sheets of both companies at the date of acquisition are as follows:

Great-batch's property and equipment is overvalued by $30 million, its reported intangibles are undervalued by $20 million, and it has unreported intangibles, in the form of customer databases and marketing agreements, valued at $7 million.
Required
Prepare Wilson's balance sheet immediately following the statutory merger.

Balance Sheet (in millions) Wilson Greatbatch Current assets S 60 500 20 $580 $ 5 90 3 Total assets Current liabilities. . .__ $98 Retained earnings Accumulated other comprehensive income. Total liabilities and equity. $ 25 400 50 120 (15) $580 $ 2 65 12 15 $98