(Answered) Fortune corporation used debentures with a par value of

Accounting

Fortune Corporation used debentures with a par value of $572,000 to acquire 100 percent of Sorden Company's net assets on January 1, 20X2. On that date, the fair value of the bonds issued by Fortune was $556,000. The following balance sheet data were reported by Sorden:

Determine the amount Fortune Corporation would record as a gain on bargain purchase and prepare the journal entry Fortune would record at the time of the exchange. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

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