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 $7 par value common stock. The following information is provided on the assets and accounts payable transferred:

	Cost			Book Value			Fair Value
Cash	$	37,000		$	37,000		$	37,000
Inventory		72,000			72,000			72,000
Land		67,000			67,000			97,000
Buildings		189,000			149,000			249,000
Equipment		96,000			72,000			112,000
Accounts Payable		47,000			47,000			47,000

Required: a. Prepare the journal entry that Pab recorded for the transfer of assets and accounts payable to Sollon. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

b. Prepare the journal entry that Sollon recorded for the receipt of assets and accounts payable from Pab. (if no entry is required for a transaction/event "no journal entry required" in the first account field.)