Pam and Sun Corporations entered into a business combination accounted for as a pooling of interests in which Sun was dissolved. Net assets and stockholders' equities of the two companies immediately before the pooling follow (in thousands):
________________________Pam _________________ Sun
Net assets ........................$1,000 .........................$800
Capital stock, $10 pa............$ 400 ..........................$200
Additional paid-in capital .......200 ...........................300
Total paid-in capital ............600 ...........................500
Retained earnings ...............400 ...........................300
Total stockholders' equity ....$1,000 .......................$800
Required
1. Prepare the journal entry on Pam Corporation's books to record the pooling with Sun if Pam issued 35,000, $10 par common shares in exchange for all of Sun common shares.
2. Prepare the journal entry on Pam Corporation's books to record the pooling with Sun if Pam issued 77,000, $10 par common shares in exchange for all of Sun common shares?