Bramble Corporation recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review his textbooks on the topic of corporation accounting. During the first month, the accountant made the following entries for the corporation's capital stock. May 2 Cash 185,400 Capital Stock 185,400 (Issued 10,300 shares of $ 15 par value common stock at $ 18 per share) 10 Cash 669,500 Capital Stock 669,500 (Issued 10,300 shares of $ 55 par value preferred stock at $ 65 per share) 15 Capital Stock 16,125 Cash 16,125 (Purchased 1,075 shares of common stock for the treasury at $ 15 per share) 31 Cash 3,200 Capital Stock 2,000 Gain on Sale of Stock 1,200 (Sold 200 shares of treasury stock at $ 16 per share)

Bramble Corporation recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review his textbooks on the topic of corporation accounting. During the first month, the accountant made the following entries for the corporation's capital stock. May 2 Cash 185,400 Capital Stock 185,400 (Issued 10,300 shares of $ 15 par value common stock at $ 18 per share) 10 Cash 669,500 Capital Stock 669,500 (Issued 10,300 shares of $ 55 par value preferred stock at $ 65 per share) 15 Capital Stock 16,125 Cash 16,125 (Purchased 1,075 shares of common stock for the treasury at $ 15 per share) 31 Cash 3,200 Capital Stock 2,000 Gain on Sale of Stock 1,200 (Sold 200 shares of treasury stock at $ 16 per share)

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter13: Corporations: Organization, Stock Transactions, And Dividends

Section: Chapter Questions

Problem 3PA: The following selected accounts appear in the ledger of EJ Construction Inc. at the beginning of the...

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Comprehensive Young Corporation has been operating successfully for several years. It is authorized to issue 24,000 shares of no-par common stock and 6,000 shares of 8%, 100 par preferred stock. The Contributed Capital section of its January 1, 2019, balance sheet is as follows: Part a. A shareholder has raised the following questions: 1. What is the legal capital of the corporation? 2. At what average price per share has the preferred stock been issued? 3. How many shares of common stock have been issued (the common stock has been issued at an average price of 23 per share)? Part b. The company engaged in the following transactions in 2019: Required: 1. Answer the questions in Part a. 2. Prepare journal entries to record the transactions in Part b. 3. Prepare the Contributed Capital section of Youngs December 31, 2016, balance sheet.
The following selected accounts appear in the ledger of EJ Construction Inc. at the beginning of the current fiscal year: During the year, the corporation completed a number of transactions affecting the stockholders equity. They are summarized as follows: a. Issued 500,000 shares of common stock at 8, receiving cash. b. Issued 10,000 shares of preferred 1% stock at 60. c. Purchased 50,000 shares of treasury common for 7 per share. d. Sold 20,000 shares of treasury common for 9 per share. e. Sold 5,000 shares of treasury common for 6 per share. f. Declared cash dividends of 0.50 per share on preferred stock and 0.08 per share on common stock. g. Paid the cash dividends. Instructions Journalize the entries to record the transactions. Identify each entry by letter.
STOCK SUBSCRIPTIONS AND TREASURY STOCK Nash Roth formed a corporation and had the following organization costs and stock transactions during the year: June 30 Incurred the following costs of incorporation: Incorporation fees 800 Attorney's fees 9,000 Promotion fees 8,000 July 15 Issued 7,000 shares of 10 par common stock for 73,000 cash. Aug. 1 Received subscriptions for 8,000 shares of 10 par common stock for 81,500. 15 Issued 16,000 shares of 10 par common stock in exchange for a building and fixtures with a fair market value of 165,000. 31 Received a payment of 51,500 for the common stock subscription. Sept. 3 Purchased 2,000 shares of its own 10 par common stock for 11 a share. 18 Received the balance in full for the common stock subscription and issued the stock. 30 Sold 800 shares of its treasury stock for 11.50 a share. Oct. 15 Issued 3,000 shares of 40 par, 5% preferred stock in exchange for land with a fair market value of 125,000. 31 Sold 400 shares of its treasury stock for 10.75 a share. REQUIRED Prepare journal entries for these transactions.
Ayayal Corp. recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review what he had learned earlier about corporation accounting. During the first month, he made the following entries for the corporation's capital stock May 2 100 15 Cash Capital Stock Ossued 7,000 shares of $10 par value common stock at $13 per share) Cash Capital Stock Issued 10,000 shares of $20 par value preferred stock at $51 per share) Capital Stock (Purchased 500 shares of common stock for the treasury at $12 per share) 91.000 $10,000 6,000 91,000 510,000 6.000 SUB
Indigo Corporation recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review what he had learned earlier about corporation accounting. During the first month, he made the following entries for the corporation’s capital stock. May 2 Cash 112,500 Capital Stock 112,500 (Issued 7,500 shares of $12 par value common stock at $15 per share) 10 Cash 765,000 Capital Stock 765,000 (Issued 15,000 shares of $16 par value preferred stock at $51 per share) 15 Capital Stock 7,900 Cash 7,900 (Purchased 790 shares of common stock for the treasury at $10 per share) On the basis of the explanation for each entry, prepare the entries that should have been made for the capital stock transactions.
Concord Inc. recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review what he had learned earlier about corporation accounting. During the first month, he made the following entries for the corporation’s capital stock. Date Account Titles and Explanation Debit Credit May 2 Cash 208,000 Capital Stock 208,000 (Issued 13,000 shares of $ 5 par value common stock at $ 16 per share) May 10 Cash 660,000 Capital Stock 660,000 (Issued 11,000 shares of $ 30 par value preferred stock at $ 60 per share) May 15 Capital Stock 14,400 Cash 14,400 (Purchased 900 shares of common stock for the treasury at $ 16 per share) May 31 Cash 13,500 Capital Stock 7,500 Gain on Sale of Stock 6,000 (Sold 750 shares of treasury stock at $…
Pistons Inc. recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review what he had learned earlier about corporation accounting. During the first month, he made the following entries for the corporation's capital stock. Date Account Titles and Explanation May 2 Cash Capital Stock (Issued 12,000 shares of $5 par value common stock at $16 per share) May 10 Cash Capital Stock (Issued 10,000 shares of $30 par value preferred stock at $60 per share) May 15 Capital Stock Cash (Purchased 1,000 shares of common stock for the treasury at $15 per share) May 31 Cash Capital Stock Gain on Sale of Stock (Sold 500 shares of treasury stock at $17 per share) Debit Credit 192,000 600,000 15,000 8,500 192,000 600,000 15,000 5,000 3,500 On the basis of the explanation for each entry, prepare the entries that should have been made for the capital stock transactions. (List all debit entries before…
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E11-5
E11-5 Mesa Corporation recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review what he had learned earlier about corporation accounting. During the first month, he made the following entries for the corporation's capital stock. 000.000 00018 May 2 104,000 Cash Capital Stock (Issued 8,000 shares of $10 par value 181odrcommon stock at $13 per share) 104,000 TIOS 10 Cash 530,000 mowwf.co 530,000 Capital Stock (Issued 10,000 shares of $20 par value ala 12 preferred stock at $53 per share) 000.0 15 Capital Stock Cash (ls लि 7,200 000 00 7,200 029 (Purchased 600 shares of common stock for the treasury at $12 per share) ndz 090.04 000,00 000.000 Instructions On the basis of the explanation for each entry, prepare the entries that should have been made for the capital stock transactions.
(e) If dividends of $72,000 were in arrears on preferreu SLUCK, WInutu reported for retained earnings? ETT-5 Mesa Corporation recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review what he had learned earlier about corporation accounting. During the first month, he made the following entries for the corporation's capital stock. Prepare c stock tra (LO 2), AN May 2 Cash 104,000 104,000 Capital Stock (Issued 8,000 shares of $10 par value common stock at $13 per share) noblorb 10 Cash 530,000 Capital Stock (Issued 10,000 shares of $20 par value preferred stock at $53 per share) 530,000 12 15 Capital Stock Cash 7,200 7,200 be (Purchased 600 shares of common stock for the treasury at $12 per share) Instructions On the basis of the explanation for each entry, prepare the entries that should have been made for the capital stock transactions.
Earnestine, Kepplinger & Co. began a new public corporation. The corporation’s common shares have no par value. During the first month of operations, it had the following share transactions. a) Earnestine, Kepplinger & Co. issued 12,700 common shares for $98,000 on November 1, 2020. Write the journal entry to record the transaction. Do not enter dollar signs or commas in the input boxes.For transactions that have 2 debits or credits, enter the accounts in alphabetical order. Date Account Title and Explanation Debit Credit Nov 1 Answer Answer Answer Answer Issued common shares b) On November 1, 2020, Earnestine, Kepplinger & Co. issued an additional 7,100 common shares in exchange for equipment and a building. The equipment was valued at $54,000 and the building valued at $134,000. Record the transaction. Date Account Title and Explanation Debit Credit Nov 1 Answer Answer Answer Answer Common Shaers Answer…