Record Corporation
CD Inc -Based on the Information Concerning Record Corp

Record Corporation
CD Inc.acquires 100% of the outstanding shares of Record Corp.for $1,200,000 and accounts for the transaction using the purchase method.Record Corp's balance sheet at the date of acquisition appears below:
$\begin{array}{lrr}\text {Record, Corp.}\\\text {Balance Sheet}\\\text {Acquisition Date}&&\text { Current }\\&\text { Historical }&\text { Market}\\&\text { Cost }& \text { Value}\\\hline \text { Assets }\\\text { Cash } & \$ 479,000 & \$ 479,000 \\\text { Accounts Receivable } & 225,400 & 210,000 \\\text { Inventory } & 98,900 & 105,000 \\\text { Depreciable Assets less } & 554,700 & 600,000\\\text { Accumulated Depreciation }\\\text {Note Receivable}&100,000&100,000\\\text { soodwill }\\\text {Total Assets}& \$ 1,458,000 \\\\\text { Liabilities and Equities }\\\text { Accounts Payable } & \$ 458,000 & \$ 458,000 \\\text { Note Payable } & 325,000 & 325,000 \\\text { Deferred Income Tax Liability } & 125,000 & 125,000\\\text { Shareholders' Equity } & 550,000 \\\text { Total Liabilities and Equities } & \$ 1,458,000\end{array}$
-Based on the information concerning Record Corp.,what amount of goodwill should CD record at the acquisition date?

A) ($294,000)
B) $614,000
C) $1,200,000
D) $350,000