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: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter11: Stockholders' Equity

Section: Chapter Questions

Problem 11.14AMCP

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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.
Current Attempt in Progress Nash 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 13,000 shares of $5 par value common stock at $15 per share) May 10 Cash Capital Stock (Issued 11,000 shares of $40 par value preferred stock at $80 per share) May 15 Capital Stock Cash (Purchased 800 shares of common stock for the treasury at $15 per share) May 31 Cash Capital Stock Gain on Sale of Stock (Sold 520 shares of treasury stock at $18 per share) Debit Credit 195,000 880,000 12,000 9.360 195,000 880,000 12,000 5,200 4,160
(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.