Pennzoil Company in Houston, TX created Skine Company as a wholly owned subsidiary. Pennzoil Company reported the following balance sheet amounts immediately before and after it transferred assets and accounts payable to Skine Company in exchange for 4,400 shares of $11 par value common stock:

	Amount Reported
	Before Transfer						After Transfer
Assets
Cash				$	53,000					$	24,000
Accounts Receivable					67,000						36,000
Inventory					37,000						12,000
Investment in Skine Company											106,000
Land					21,000						18,000
Depreciable Assets	$	182,000					$	109,000
Accumulated Depreciation		75,000			107,000			42,000			67,000
Total Assets				$	285,000					$	263,000
Liabilities and Equities
Accounts Payable				$	32,000					$	10,000
Bonds Payable					76,000						76,000
Common Stock					54,000						54,000
Retained Earnings					123,000						123,000
Total Liabilities and Equities				$	285,000					$	263,000

Required: a. & b. Prepare the journal entry that Pennzoil Company recorded when it transferred the assets to Skine, and the entry that Skine recorded for the receipt of assets and issuance of common stock to Pennzoil Company. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

No Event Credit 1 a Debit 106,000 33,000 22,000 General Journal Investment in Skine Company common stock Accumulated depreciation Accounts payable Cash Accounts receivable Inventory Land Depreciable assets 29,000 31,000 25,000 3,000 73,000 b N Cash Accounts receivable Inventory Land Depreciable assets Accounts payable Common stock Additional paid-in capital 29,000 31,000 25,000 3,000 40,000 22,000 48,400 57,600