15Starr Corporation was organized on January 1, 20X1, with anauthorization of 400,000 shares of common stock with a par valueof $6 per share. During 20X1, the corporation had the followingcapital transactions:January 5July 28December 31issued 225,000 shares @ $10 per sharepurchased 30,000 shares @ $11 per sharesold the 30,000 shares held in treasury @ $18 pershareStarr used the cost method to record the purchase and reissuance ofthe treasury shares. What is the total amount of additional paid-incapital as of December 31, 20X1?a. $-0-.b. $690,000.$900.000.d. $1,110,000.

Step 1:Computation of the total additional paid-in capital as of December 31, 20X1:Additional…

Answered: 15 Starr Corporation was organized on…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

MH Corp. was organized on January 1, 20X7. The firm was authorized to issue 100,000 shares of $5 par value common stock. During 20X7, MH had the following transactions relating to stockholders' equity: Issued 15,000 shares of common stock at $7 per share. Issued 10,000 shares of common stock at $9 per share. Reported a net income of $270,000. Paid dividends of $60,000. Purchased 3,000 shares of treasury stock at $10 (part of the 10,000 shares issued at $9). What is the total stockholders' equity of MH at the end of 20X7? Select one: a. $355,000 b. $375,000 c. $498,000 d. $378,000 e. $495,000
Required information The following information applies to the questions displayed below] Incentive Corporation was authorized to issue 12,000 shares of common stock, each with a $1 par value. During its first year, the following selected transactions were completed: a. Issued 5,400 shares of common stock for cash at $24 per share. b. Issued 1,400 shares of common stock for cash at $27 per share. 3. Prepare the stockholders' equity section as it should be reported on the year-end balance sheet. At year-end, the accounts reflected net income of $200. INCENTIVE CORPORATION Balance Sheet (Partial) At December 31 Stockholders' Equity Contributed Capital: Total Contributed Capital Total Stockholders' Equity
Instructions On January 23, 15,000 shares of Tolle Company are acquired at a price of $25 per share plus a $145 brokerage commission. On April 12, a $0.30-per-share dividend was received on the Tolle Company stock. On June 10, 6,200 shares of the Tolle Company stock were sold for $34 per share less a $130 brokerage commission. Prepare the journal entries for the original purchase, the dividend, and the sale under the cost method. Refer to the Chart of Accounts for exact wording of account titles. When required, round your answers to the nearest dollar.
2. 1. Good Harvest Corporation was incorporated on January 1, 2021, with authorized share capital of 300,000 shares at P20 par value. Record the transactions completed during the months of January and February using (1) the memorandum entry method (2) the journal entry method a. The incorporators subscribed to twenty five percent of the authorized share capital and paid 25% of the subscription price. b. Good Harvest issued 10,000 shares for cash at P22 per share. C. The corporation received subscription for 5,000 shares at P24 per share. Thirty percent of the subscription was collected and the balance is due on March 31, 2021. d. The incorporators in (a) paid the balance due on their subscriptions, and the share certificates were accordingly issued. Use the same information given in problem 1. Present the shareholders' equity section of the statement of financial position of Good Harvest Corporation on February 28, 2021 using (1) the memorandum entry method the journal entry method (2)
on january 1 , lime manufacturing corporation purchased 185000 shares of its own reviously issued $5 par common stock for $25 per share. On april 1, Lime Manufacturing sels 105000 of the treasury stock for $27 per share. On june 1, Lime Manufacturing sels 65000 of the treasury for $19 per share. Prepare journal entries for each date.
Fortuna Company is authorized to issue 1,000,000 shares of $1 par value common stock. In its first year, the company has the following transactions: Jan. 31 Issued 41,000 shares at $10 share. Jun. 10 Issued 150,000 shares in exchange for land with a clearly determined value of $850,000. Aug. 3 Purchased 8,000 shares of treasury stock at $8 per share. A. Prepare the journal entries to record the transactions. If an amount box does not require an entry, leave it blank. Jan. 31 Cash fill in the blank 6111daf96023f8f_2 fill in the blank 6111daf96023f8f_3 Common Stock fill in the blank 6111daf96023f8f_5 fill in the blank 6111daf96023f8f_6 Additional Paid-in Capital from Common Stock fill in the blank 6111daf96023f8f_8 fill in the blank 6111daf96023f8f_9 Jun. 10 Land fill in the blank 6111daf96023f8f_11 fill in the blank 6111daf96023f8f_12 Common Stock fill in the blank 6111daf96023f8f_14 fill in the blank 6111daf96023f8f_15 Additional Paid-in…
Company purchased 5,000 of its own shares at $50 per share. DATE Debit Credit X/X
Hanshaben
Journal entry?
Part A During its first year of operations, the A. Clem Corporation entered into the following transactions relating to shareholders’ equity. The corporation was authorized to issue 103 million common shares, $1 par per share. Required: Prepare the appropriate journal entries to record each transaction. January 9 Issued 30 million common shares for $14 per share. March 11 Issued 4,200 shares in exchange for custom-made equipment. A. Clem shares have traded recently on the stock exchange at $14 per share. Part B A new staff accountant for the A. Clem Corporation recorded the following journal entries during the second year of operations. A. Clem retires shares that it reacquires (restores their status to that of authorized but unissued shares). Date General Journal ($ in millions) Debit Credit September 1 Common stock 4 Retained earnings 72 Cash 76 December 1 Cash 40 Common stock 2 Gain on sale of previously issued shares 38 Required:…
EXERCISE I The Gallery Company is authorized to issue 100, 000 shares of P 500 par value ordinary share capital. Gallery has the following transactions during the month: Issued 20,000 shares at par, receiving cash. Received a bill amounting to P 180,000 for services in securing the corporate charter and for other preliminary legal costs of organizing the corporation. The bill was settled by issuing 300 shares of ordinary share capital. Issued 12,500 ordinary shares in exchange for land and building with fair values of P 5,000,000 and 3,000,000, respectively. • Received cash for 6,500 ordinary shares sold at P 550 per share. • Received subscription for 20,000 shares at p 550 per share, receiving 25% down. Collected balance of the subscription price on the 12,000 shares subscribed above and share certificates were accordingly issued. REQUIRED: a) Journal entries to record the foregoing transactions.
DDD Company had the following ordinary share transactions for the current year: January 1 Beginning balance, 120,000 shares, P50 par June 1 Issued 12,000 shares at P60 per share September 30 Purchased 24,000 shares at P55 per share to be held as treasury The entity reported net income of P3,630,000, after an expropriation loss of P605,000 for the current year. Questions: 1. Compute for the average shares outstanding. 2. Compute for the basic earnings per share.

SEE MORE QUESTIONS

Recommended textbooks for you

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…

Accounting

ISBN:

9780134475585

Author:

Srikant M. Datar, Madhav V. Rajan

Publisher:

PEARSON

Intermediate Accounting

Accounting

ISBN:

9781259722660

Author:

J. David Spiceland, Mark W. Nelson, Wayne M Thomas

Publisher:

McGraw-Hill Education

Financial and Managerial Accounting

Accounting

ISBN:

9781259726705

Author:

John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS