Parrot Company Purchased 75% of the Outstanding Common Shares and 50

Parrot Company purchased 75% of the outstanding common shares and 50% of the outstanding preference shares of Saltines Inc. on January 1, 2020, on which date the balance sheet and fair values of Saltines' assets and liabilities were as follows:
Saltines Inc.
Balance Sheet
as at December 31, 2019
$\begin{array}{|l|r|r|}\hline & \text { Book Values } & \text { Fair Values } \\\hline \text { Cash } & \$ 130,000 & \$ 130,000 \\\hline \text { Accounts receivable } & 120,000 & 110,000 \\\hline \text { Inventory } & 320,000 & 290,000 \\\hline \text { Capital assets (net) } & 720,000 & 800,000 \\\hline & \$ 1,290,000 & \\\hline \text { Current liabilities } & \$ 190,000 & \$ 190,000 \\\hline \text { Long-term debt } & 300,000 & 300,000 \\\hline \text { Common shares } & 300,000 \\\hline \text { Preferred shares } & 200,000 \\\hline \text { Contributed surplus } & 50,000 \\\hline \text { Retained earnings } & 250,000 \\\hline & \$ 1,290,000 \\\hline\end{array}$