Subsidiary sale of shares, alternative amounts purchased by parent. On January 1, 2015, Artic Company acquires an 80% interest in Calco Company for $400,000. On the acquisition date, Calco Company has...

Subsidiary sale of shares, alternative amounts purchased by parent. On January 1, 2015, Artic Company acquires an 80% interest in Calco Company for $400,000. On the acquisition date, Calco Company has the following stockholders’ equity:

Assets and liabilities have fair values equal to book values. Goodwill totals $50,000.

Calco Company has net income of $60,000 for 2015. No dividends are paid or declared during 2015.