The purchase price allocation was obtained from an independent valuation firm The following sets forth the components of the final purchase price allocation:
Purchase Price | ||||
Cash payment | $ | 3,500,000 | ||
Warranty expense | 10,000 | |||
Total purchase price | $ | 3,510,000 | ||
Assets Purchased | ||||
Inventory | $ | 71,700 | ||
Fixed assets | 150,000 | |||
Patents | 2,848,300 | |||
Trademarks | 440,000 | |||
Total Assets Acquired | $ | 3,510,000 |