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5 - 4 On July 3 1 , Year 1 0 . Pell Corporation issued 2 0 . 0 0 0 shares of its $

5-4 On July 31, Year 10. Pell Corporation issued 20.000 shares of its $2 par common stock (current fair value $10 a share) for all 5.000 shares of outstanding $5 par common stock of Swift Company, which is to remain a separate corporation. Out-of-pocket costs of the business combination, paid by Pell on July 31. Year 10, are shown below:
Finder's and legal fees related to business combination .......... $20.000
Costs associated with SEC registration statement for Pell common stock 10,000
Total out-of-pocket costs of business combination ............ $30.000
The constituent companies' balance sheets on July 31, Year 10, prior to the business combination. follow:
PELL CORPORATION AND SWIFT COMPANY
Separate Balance Sheets
July 31, Year 10
\table[[,\table[[Pel
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