Learning Objective 2 E-F:13-23 Journalizing issuance of stock and preparing the stockholders' equity section of the balance sheet 2. Total Stockholders' Equity $94,500 The charter for ASAP-TV, Inc. authorizes the company to issue 100,000 shares of $5, no-par preferred stock and 500,000 shares of common stock with $1 par value. During its start-up phase, ASAP-TV completed the following transactions: Sep. 6 12 14 Issued 550 shares of common stock to the promoters who organized the corporation, receiving cash of $16,500. Issued 400 shares of preferred stock for cash of $23,000. Issued 1,500 shares of common stock in exchange for land with a market value of $17,000. Requirements 1. Record the transactions in the general journal. 2. Prepare the stockholders' equity section of the ASAP-TV balance sheet at September 30, 2024, assuming ASAP-TV, Inc. had net income of $38,000 for the month.

Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter8: Liabilities And Stockholders' Equity
Section: Chapter Questions
Problem 8.24E
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Learning Objective 2 E-F:13-23 Journalizing issuance of stock and preparing the stockholders'
equity section of the balance sheet
2. Total Stockholders'
Equity $94,500
The charter for ASAP-TV, Inc. authorizes the company to issue 100,000 shares of
$5, no-par preferred stock and 500,000 shares of common stock with $1 par value.
During its start-up phase, ASAP-TV completed the following transactions:
Sep. 6
12
14
Issued 550 shares of common stock to the promoters who organized the
corporation, receiving cash of $16,500.
Issued 400 shares of preferred stock for cash of $23,000.
Issued 1,500 shares of common stock in exchange for land with a market
value of $17,000.
Requirements
1. Record the transactions in the general journal.
2. Prepare the stockholders' equity section of the ASAP-TV balance sheet at
September 30, 2024, assuming ASAP-TV, Inc. had net income of $38,000 for the
month.
Transcribed Image Text:Learning Objective 2 E-F:13-23 Journalizing issuance of stock and preparing the stockholders' equity section of the balance sheet 2. Total Stockholders' Equity $94,500 The charter for ASAP-TV, Inc. authorizes the company to issue 100,000 shares of $5, no-par preferred stock and 500,000 shares of common stock with $1 par value. During its start-up phase, ASAP-TV completed the following transactions: Sep. 6 12 14 Issued 550 shares of common stock to the promoters who organized the corporation, receiving cash of $16,500. Issued 400 shares of preferred stock for cash of $23,000. Issued 1,500 shares of common stock in exchange for land with a market value of $17,000. Requirements 1. Record the transactions in the general journal. 2. Prepare the stockholders' equity section of the ASAP-TV balance sheet at September 30, 2024, assuming ASAP-TV, Inc. had net income of $38,000 for the month.
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