Dr. Smith started Biotech Inc. (BTE). on October 1, 2020. On October 1, 20 common shares to Dr. Smith in exchange for $10,000 in cash. Also, tl occurred in December 2020. a) On December 1, 2020, BTE borrowed $1,200,000, 5-year loan, bearing 7 b) On December 10, 2020, BTE issued 1000 preferred Class A shares to each. The articles of incorporation (charter) disclosed that the Class preferred shares had a stated value of $ 250 per share. c) On December 28, 2020, BTE declared and paid a 5% stock dividend on The market vahue of the common shares before the announcement of the $850 per share. d) On December 30, 2020, BTE paid a dividend to the common sharehold per share. Required: Please prepare the necessary jouumal entries for the above transactions ab adjusting entries required at the year-end date December 31, 2020. Narative Date Account Debit 10/1/2020 12/1/2020

Dr. Smith started Biotech Inc. (BTE). on October 1, 2020. On October 1, 20 common shares to Dr. Smith in exchange for $10,000 in cash. Also, tl occurred in December 2020. a) On December 1, 2020, BTE borrowed $1,200,000, 5-year loan, bearing 7 b) On December 10, 2020, BTE issued 1000 preferred Class A shares to each. The articles of incorporation (charter) disclosed that the Class preferred shares had a stated value of $ 250 per share. c) On December 28, 2020, BTE declared and paid a 5% stock dividend on The market vahue of the common shares before the announcement of the $850 per share. d) On December 30, 2020, BTE paid a dividend to the common sharehold per share. Required: Please prepare the necessary jouumal entries for the above transactions ab adjusting entries required at the year-end date December 31, 2020. Narative Date Account Debit 10/1/2020 12/1/2020

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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