Note: Problems 1 through 37 assume the use of the acquisition method.Problems 38 through 40 assume the use of the purchase method. Good Corporation acquired 80 percent of the outstanding stock

Note: Problems 1 through 37 assume the use of the acquisition method.Problems 38 through 40 assume the use of the purchase method.
Good Corporation acquired 80 percent of the outstanding stock of Morning, Inc., on January 1, 2008, for $1,400,000 in cash, debt, and stock.One of Morning’s buildings, with a 10-year remaining life, was undervalued on the company’s accounting records by $80,000.Also, Morning’s newly developed unpatented technology, with an estimated 10-year life, was assessed to have a fair value of $550,000.
During subsequent years, Morning reports the following:
The following trial balances are for these two companies as of December 31, 2011.Morning owes Good $100,000 as of this date.
Using the purchase method, prepare consolidated balances for this business combination for 2011.

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