3) On January 1, 2013, Pendal Corporation purchased 25% of the outstanding common stock of Sedda Corporation for $100,000 cash. Book value and fair value of Sedda's assets and liabilities at the time...

Extracted text: 3) On January 1, 2013, Pendal Corporation purchased 25% of the outstanding common stock of Sedda Corporation for $100,000 cash. Book value and fair value of Sedda's assets and liabilities at the time of acquisition are shown below. Assets Book Fair Values $40,000 Values $40,000 Cash Accounts receivable 100,000 90,000 50,000 210,000 $390,000 Inventories 40,000 Equipment 180,000 $360,000 Liabilities & Equities Accounts payable Note payable Capital stock Retained earnings $110,000 $110,000 50,000 40,000 100,000 100,000 $360,000 $150,000 Required: Prepare an allocation schedule for Pendal's investment in Sedda.