Answer in a memorandom entry Subscription of SharesGabayan, Inc. has been authorized to issue 125,000 shares of P10 par ordinary sharesThe following 2019 transactions relate to the initial issuance of Gabayan share:Feb. 1 Gabayan sold subscriptions for 25,000 shares of stock. Theshares have a subscription price of P15 per share. One-third ofthe subscription price was received as a down payment.15 Gabayan sold 10,000 shares for P180,000.Mar. 1 An installment amounting to one-third of the subscription pricewas received.19 Gabayan exchanged 200 shares of stock for a new two-wayradio system having a fair market value of P3,800.Apr. 1 The final one-third of the subscription price was received andthe share issued.Required:Prepare journal entries to record the transactions.

Journal: It refers to an account which records all the financial transactions pertaining to a…

Answered: Prepare journal entries to record the…

Business

Accounting

Prepare journal entries to record the transactions.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter15: Contributed Capital

Section: Chapter Questions

Problem 1P: Subscriptions On August 3, 2019, the date of incorporation, Quinn Company accepts separate...

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Calculating the Number of Shares Issued Castalia Inc. issued shares of its $0.80 par value common stock on September 4, 2019, for $8 per share. The Additional Paid-In Capital-Common Stock account was credited for 5612,000 in the journal entry to record this transaction. Required: How many shares were issued on September 4, 2019?
Contributed Capital Adams Companys records provide the following information on December 31, 2019: Additional information: 1. Common stock has a 5 par value, 50,000 shares are authorized, 15,000 shares have been issued and are outstanding. 2. Preferred stock has a 100 par value, 3,000 shares are authorized, 800 shares have been issued and are outstanding. Two hundred shares have been subscribed at 120 per share. The stock pays an 8% dividend, is cumulative, and is callable at 130 per share. 3. Bonds payable mature on January 1, 2023. They carry a 12% annual interest rate, payable semiannually. Required: Prepare the Contributed Capital section of the December 31, 2019, balance sheet for Adams. Include appropriate parenthetical notes.
Kent Corporation was organized on January 1, 2014. On that date, it issued 200,000 shares of 10 par value common stock at 15 per share (400,000 shares were authorized). During the period January 1, 2014, through December 31, 2019, Kent reported net income of 750,000 and paid cash dividends of 380,000. On January 5, 2019, Kent purchased 12,000 shares of its common stock at 12 per share. On December 28, 2019, 8,000 treasury shares were sold at 8 per share. Kent used the cost method of accounting for treasury shares. What is Kents total shareholders equity as of December 31, 2019? a. 3,290,000 b. 3,306,000 c. 3,338,000 d. 3,370,000
Calculating the Number of Shares Issued Castanet Inc. issued shares of its $1. 50 par value common stock on November 9,2019, for $13 per share. In recording the issuance of the stock, Castanet credited the Additional Paid-In Capital- Common Stock account for $416,300. Required: How many shares were issued on November 9, 2019?
Gabayan Inc. has been authorized to issue 125,000 shares of P10 par ordinary shares. The following 2019 transactions relate to the initial issuance of Gabayan share : Feb. 1 Gabayan sold subscriptions for 25,000 shares of stock. The shares have a subscription price of P15 per share. One-third of the subscription price was received as down payment 15 Gabayan sold 10,000 shares for P180,000 Mar. 1 An installment amounting to one-third of the subscription price was received . 19 Gabayan exchanged 200 shares of stock for a new two-way radio system having a fair market value of P3,800 Apr. 1 The final one-third of the subscription price was received and the share issued. Required: Prepare a journal entries to record the transactions
Required: 1.Prepare a memorandum entry
Shrek Inc., had issued subscriptions for common shares on March 1, 2020. 40% of the subscription was to be paid by the subscribers on April 1 and the balance on June 1. The company would thereafter issue the shares on June 15. On April 1, the company received the funds for the first instalment and prepared the following journal entry to record the transaction: DR Cash $446,400 CR Share Subscription Receivable $446,400 On June 1, 2,000 subscribers failed to pay the second instalment and their subscriptions were forfeited. The company received the funds due on the second instalment from the remaining subscribers and prepared the following journal entry to record the transaction: DR Cash $648,000 CR Share Subscription Receivable $648,000 For how many shares were subscriptions issued by Shrek on March 1, 2020? Select one: a.…
Answer in a memorandum entry
Journalize. Analyze and journalize the following transactions. On July 1, Sarangani Marketing Corporation is authorized to issue 10,000 ordinary shares at P100 par value per share. On July 2, 2020 the six (6) incorporators have subscribed to 2,500 shares at par value and paid P62,500 of the subscription. Other transactions follow: July 16 Neria Asperga subscribed to 100 ordinary shares and made down payment of P4,500. 18 Narvin La'chica subscribed to 100 ordinary shares. Elizabeth Palma Gil, one of the incorporators, paid her subscription balance in full and a share certificate for 200 shares was issued: 200 shares subscribed at P100 Less: 25% subscription payment Balance P 20,000 5,000 P 15,000 25 Received cash of P35,000 from the incorporators as partial payment of their subscription balances. 30 31 Neria Asperga paid the subscription balance in full and a share certificate is issued.
Please answer numbers 16 and 17:
On January, 2019, Chicosci Corporation was incorporated with authorized Ordinary share capital of P 3,000,000, divided into 100,000 shares with a par value per share of P 30. In February, 30,000 shares were issued for P 40 per share. In July, 20,000 shares were subscribed at a price of P 45 per share. As of December 31, 2019, one half of the subscription has been collected. What amount will appear on the December 31, 2019 Statement of financial position as Ordinary Share Capital?
Tube You Corporation (TYC) has been authorized to issue 125,000 shares of P10 par value ordinary shares. The following 2022 transactions relate to the initial share issuances: Jan. 1 TYC sold subscriptions for 25,000 shares. The shares have a subscription price of P15 per share. One-third of the subscription price was received as down payment. Jan. 15 TYC sold 10,000 shares for P180,000. Feb. 1 An instalment amounting to one-third of the subscription price was received. Feb. 19 P3,800. TYC exchanged 200 shares for a new two-way radio system having a fair market value of Mar. 1 The final one-third of the subscription price was received, and the stock certificates were issued. Required: Prepare the journal entries