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Below are transactions related to Pearl Company (a) The City of Pebble Beach gives the company 5 acres of land as a plant site. The

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Below are transactions related to Pearl Company (a) The City of Pebble Beach gives the company 5 acres of land as a plant site. The fair value of this land is determined to be $76,260. (b) 13,000 shares of common stock with a par value of $52 per share are issued in exchange for land and buildings. The property has been appraised at a fair value of $762,600, of which $191,400 has been allocated to land and $571,200 to buildings. The stock of Pearl Company is not listed on any exchange, but a block of 100 shares was sold by a stockholder 12 months ago at $67 per share and a block of 200 shares was sold by another stockholder 18 months ago at $60 per share. No entry has been made to remove from the accounts for Materials, Direct Labor, and Overhead the amounts properly chargeable to plant asset accounts for machinery constructed during the year. The following information is given relative to costs of the machinery constructed $12,090 837 17,520 Materials used Factory supplies used Direct labor incurred Additional overhead (over regular) caused by construction of machinery,excluding factory supplies used Fixed overhead rate applied to regular manufacturing operations Cost of similar machinery if it had been purchased from outside suppliers 2.560 60% of direct labor cost 48.140 Prepare journal entries on the books of Pearl Company to record these transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts.) Debit Credit No. Account Titles and Explanation (a) Land 76260 Contribution Revenue (b) Land 191400 Buildings 571200 Common Stock Paid in Capital in Excess of Par-Common Stock (c ) Machinery Materials Direct Labor Factory Overhead Texthalat Mota

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