Question: Sea Company purchased 60% of Island Company's common stock for $180,000. On the acquisition date, Island's book value of net assets totaled $250,000 and the fair value of identifiable net assets totaled $275,000. The $25,000 excess of fair value over book value on the acquisition date is attributable to fixed assets. Sea appropriately uses the acquisition method to account for the business combination. Immediately after acquisition, Sea Company's and Island Company's separate condensed balance sheets are as follows:
Required: 1. What is the dollar amount of the total assets in the consolidated balance sheet immediately after the acquisition?
2. What is the dollar amount of the non-controlling interest in the consolidated balance sheet immediately after the acquisition? Assume that the non-controlling interest fair value is imputed based on Sea's acquisition price.