Prescott Acquires All of the Stock of Sanders by Issuing $\begin{array}{lrr} \text {Consulting Fees } & \text { Registration Fees} &\\\end{array}$

Prescott acquires all of the stock of Sanders by issuing new stock to the previous shareholders of Sanders. Prescott paid consulting, accounting, and legal fees, and registration fees for the new stock issued by Sanders. What effect will these two items have on the amount of goodwill reported on the acquisition?
$\begin{array}{lrr} \text {Consulting Fees } & \text { Registration Fees} &\\\end{array}$
A) $\begin{array}{ll}\text { No effect } & &&&\text { Increase } \\\end{array}$
B) $\begin{array}{ll}\text { Increase } &&&&& \text { Increase } \\\end{array}$
C) $\begin{array}{ll}\text { No effect } &&&& \text { No effect } \\\end{array}$
D) $\begin{array}{ll}\text { Increase } &&&& \text { No effect }\end{array}$