An Acquiring Company Pays $45 Million in Cash, and Issues

An acquiring company pays $45 million in cash, and issues new no-par stock with a fair value of $75 million, to the acquired company's former owners, for the assets and liabilities of the acquired company. Registration fees associated with the new stock issuance are $300,000, paid in cash. Consulting fees for the acquisition are $1 million, paid in cash. The fair value of the acquired company's identifiable net assets is $65 million.
The entry or entries the acquiring company makes to record the acquisition have what net effect on its account balances?

A) Capital stock increases by $75 million.
B) Expenses increase by 1.3 million.
C) Cash decreases by $46 million.
D) Goodwill increases by $55 million.