Exercise 13-10 BACK NEXT Gilliam 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 130,000 Capital Stock 130,000 (Issued 10,000 shares of $10 par value common stock at $13 per share) 10 Cash 600,000 Capital Stock 600,000 (Issued 10,000 shares of $50 par value preferred stock at $60 per share) 15 Capital Stock 15,000 Cash 15,000 (Purchased 1,000 shares of common stock for the treasury at $15 per share) 31 Cash 8,000 Capital Stock 5,000 Gain on Sale of Stock 3,000 (Sold 500 shares of treasury stock at $16 per share)

Exercise 13-10 BACK NEXT Gilliam 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 130,000 Capital Stock 130,000 (Issued 10,000 shares of $10 par value common stock at $13 per share) 10 Cash 600,000 Capital Stock 600,000 (Issued 10,000 shares of $50 par value preferred stock at $60 per share) 15 Capital Stock 15,000 Cash 15,000 (Purchased 1,000 shares of common stock for the treasury at $15 per share) 31 Cash 8,000 Capital Stock 5,000 Gain on Sale of Stock 3,000 (Sold 500 shares of treasury stock at $16 per share)

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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