On July 6 Rommel company acquired the plant assets of studebaker co. which had discontinued operations. The appraised value of the property is: Land $400,000 Building 1200,000 Machinery and equipment 800,000 Rommel company gave 12500 shares of its $100 par value common stock in exchange. The stock had a market value of $180 per share on the date of the purchase of the property