P$127$Acquisition in Multiple Steps LO $15$ Peal Corporation issued $4,000$ shares of its $$10$ par value stock with a market value of $$85,000$ to acquire $85$ percent of the common stock of Seed Company on August $31,20$X$3.$ Seed$$s fair value was determined to be $$100,000$ on that date. Peal had earlier purchased $15$ percent of Seed$$s common stock for $$9,000$ on January $31,20$X$1,$ and had carried this investment at fair value on its balance. Peal reported this investment at $$15,000$ on its balance sheet at August $31,20$X$3,$ immediately prior to acquiring the remaining $85$ percent of Seed$$s shares. On August $31,20$X$3,$ Peal also paid appraisal fees of $$3,500$ and stock issue costs of $$2,000$ incurred in completing the acquisition of the additional shares. Required Give the journal entries to be recorded by Peal in completing the acquisition of the additional shares of Seed.Problem $1-27($Static$)$ Acquisition in Multiple Steps LO $1-5$

Peal Corporation issued $4,000$ shares of its $$10$ par value stock with a market value of $$85,000$ to acquire $85$ percent of the common stock of Seed Company on August $31,20$X$3.$ Seed's fair value was determined to be $$100,000$ on that date. Peal had previously purchased $15$ percent of Seed's common stock for $$9,000$ on January $31,20$X$1,$ and had carried this investment at fair value on its balance. Peal reported this investment at $$15,000$ on its balance sheet at August $31,203,$ immediately prior to acquiring the remaining $85$ percent of Seed's shares. On August $31,20$X$3,$ Peal also paid appraisal fees of $$3,500$ and stock issue costs of $$2,000$ incurred in completing the acquisition of the additional shares.

Required:

Prepare the journal entries to be recorded by Peal in completing the acquisition of the additional shares of Seed.

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

Answer is not complete.

$\backslash$table$[[$No$,$Event,General Journal,Debit,Credit$],[$A$,1,$Acquisition Expense,$,85,000,],[,$Cash,$,,40,000$