Adam Company acquired 90% of the outstanding common stock of Saul Company on June 30, 2011 for $425,700. On that date, the fair value of the non-controlling interest was $47,300. On the acquisition date, Saul Company had retained earnings in the amount of $60,000, and the fair value of its recorded assets and liabilities was equal to their book value. The excess of cost over the fair value of the recorded net assets was attributed to an unrecorded manufacturing formula held by Saul Company, which had an expected remaining useful life of five years from June 30, 2011.