Issuance of stock: organization costs. Snowbound Corporation was incorporated in July. The firm's charter authorized the sale of 200,000 shares of $11 par-value common stock. The following transactions occurred during the year: 7/1: 7/7: 8/11: 12/14: Sold 45,000 shares of common stock to investors for $18 per share. Cash was collected and the shares were issued. Issued 600 shares to Sharon Dale, attorney-at-law, for services rendered during the corporation's organizational phase. Dale charged $12,600 for her work. Sold 20,000 shares to investors for $22 per share. Cash was collected and the shares were issued. Issued 30,000 shares to the MJB Company for land valued at $900,000. Instructions Prepare journal entries to record each transaction
Issuance of stock: organization costs. Snowbound Corporation was incorporated in July. The firm's charter authorized the sale of 200,000 shares of $11 par-value common stock. The following transactions occurred during the year: 7/1: 7/7: 8/11: 12/14: Sold 45,000 shares of common stock to investors for $18 per share. Cash was collected and the shares were issued. Issued 600 shares to Sharon Dale, attorney-at-law, for services rendered during the corporation's organizational phase. Dale charged $12,600 for her work. Sold 20,000 shares to investors for $22 per share. Cash was collected and the shares were issued. Issued 30,000 shares to the MJB Company for land valued at $900,000. Instructions Prepare journal entries to record each transaction
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Issuance of stock: organization costs. Snowbound Corporation was incorporated in July.
The firm's charter authorized the sale of 200,000 shares of $11 par-value common stock. The
following transactions occurred during the year:
7/1:
7/7:
8/11:
12/14:
Sold 45,000 shares of common stock to investors for $18 per share. Cash was
collected and the shares were issued.
Issued 600 shares to Sharon Dale, attorney-at-law, for services rendered
during the corporation's organizational phase. Dale charged $12,600 for her
work.
Sold 20,000 shares to investors for $22 per share. Cash was collected and the
shares were issued.
Issued 30,000 shares to the MJB Company for land valued at $900,000.
Instructions
Prepare journal entries to record each transaction.
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