Pab Corporation decided to establish Sollon Company as a wholly owned subsidiary by transferring some of its existing assets and liabilities to the new entity. In exchange, Sollon issued Pab $34,000$ shares of $$6$ par value common stock. The following information is provided on the assets and accounts payable transferred:

$\backslash$table$[[,$Cost,Book Value,Fair Value$],[$Cash$,$$$26,000,$$$26,000,$$$26,000],[$Inventory$,72,000,72,000,72,000],[$Land$,70,000,70,000,100,000],[$Buildings$,184,000,150,000,244,000],[$Equipment$,98,000,78,000,108,000],[$Accounts Payable,$60,000,60,000,60,000]]$

Required:

a$.$ Prepare the journal entry that Pab recorded for the transfer of assets and accounts payable to Sollon

b$.$ Prepare the journal entry that Sollon recorded for the receipt of assets and accounts payable from Pab.

Complete this question by entering your answers in the tabs below.

Required $A$

Required B

Prepare the journal entry that Pab recorded for the transfer of assets and accounts payable to Sollon.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

$\backslash$table$[[$No$,$Event,General Journal,Debit,Credit,$],[$A$,1,$Cash,$\backslash$times $,26,000\backslash$times $,],[,,$Inventory,$\backslash$times $,72,000\backslash$times $,],[,,$Land,$\backslash$times $,70,000\backslash$times $,],[,,$Buildings,$\backslash$times $,94,000\backslash$times $,],[,,$Equipment,$\backslash$times $,30,000,\backslash$times $],[,,$Accounts payable,$\backslash$times $,,60,000\backslash$times $],[,,$Investment in Sollon Company common stock,$\backslash$times $,,204,000\backslash$times $],[,,$Additional paid$-$in capital,$\backslash$times $,35,000,\backslash$times $],[,,,\backslash$times $,,\backslash$times $]]$