Heart Corporation entered into a subscription contract with several subscribers on December 31. The contract requires the subscribers to purchase 2,000 shares of $4 par common stock at a price of $20 per share. The contract requires a down payment of $5 per share, with the remaining $15 per share collectible at the end of one month. The stock will be issued to each subscriber upon full payment. Required: Prepare the journal entry to record this transaction.
Heart Corporation entered into a subscription contract with several subscribers on December 31. The contract requires the subscribers to purchase 2,000 shares of $4 par common stock at a price of $20 per share. The contract requires a down payment of $5 per share, with the remaining $15 per share collectible at the end of one month. The stock will be issued to each subscriber upon full payment. Required: Prepare the journal entry to record this transaction.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Heart Corporation entered into a subscription contract with several subscribers on December 31. The contract requires the subscribers to
purchase 2,000 shares of $4 par common stock at a price of $20 per share. The contract requires a down payment of $5 per share, with
the remaining $15 per share collectible at the end of one month. The stock will be issued to each subscriber upon full payment.
Required:
Prepare the journal entry to record this transaction.
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