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
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
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
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Answer
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| Answer
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Answer
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| 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
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Answer
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| Answer
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Answer
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| Common Shaers | Answer
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| Exchanged building and equipment for common shares |
c) The lawyer that handled the issue of shares has sent a bill for $4,600. The lawyer has agreed to accept 500 common shares instead of cash. Record the transaction on November 13, 2020.
| Date | Account Title and Explanation | Debit | Credit |
| Nov 13 | Answer
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Answer
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| Answer
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Answer
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| Paid lawyer's fee with common shares |
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