Pumpkin Corporation issued 6,000 shares of common stock on January 1, 2024. The stock has no par value and was issued at $20 per share. The journal entry for this transaction includes aCICBOA. credit to Cash for $120,000, a debit to Paid - In Capital in Excess of Par-Common for $6,000, and a debit to Common Stock-No - Par Value for $114,000OB. debit to Cash for $120,000 and a credit to Common Stock-No-Par Value for $120,000OC. debit to Cash for $120,000 and a credit to Paid - In Capital in Excess of Par-Common for $120,000D. credit to Cash for $120,000 and a debit to Common Stock-No-Par Value for $120,000

The common stock indicates the portion of ownership held by each shareholder. It reflects the…

Answered: Pumpkin Corporation issued 6,000 shares…

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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Sheridan Corporation has 100,000 shares of $40 par value preferred stock authorized. During the year, it had the following transactions related to its preferred stock. (a) Issued 23,500 shares at $55 per share. (b) Issued 11,000 shares for equipment having a $715,000 asking price. The stock had a market value of $70 per share. Journalize the transactions. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
Rodriguez Corporation issues 19,000 shares of its common stock for $125,800 cash on February 20. Prepare journal entries to record this event under each of the following separate situations. The stock has a $4 par value. The stock has neither par nor stated value. The stock has a $2 stated value. Please complete the following: A. Record the issue of 19,000 shares of $4 par value common stock for $125,800 cash. B. Record the issue of 19,000 shares of no-par, no-stated value common stock for $125,800 cash. C. Record the issue of 19,000 shares of $2 stated value common stock for $125,800 cash.
Whispering Winds Corp. issued 2,800 shares of stock. Prepare the entry for the issuance under the following assumptions. (a) The stock had a par value of $5 per share and was issued for a total of $50,400. (b) The stock had a stated value of $5 per share and was issued for a total of $50,400. (c) The stock had no par or stated value and was issued for a total of $50,400. (d) The stock had a par value of $5 per share and was issued to attorneys for services during incorporation valued at $50,400. (e) The stock had a par value of $5 per share and was issued for land worth $50,400.
Sheffield Island Corporation began operations on April 1 by issuing 52,500 shares of $5 par value common stock for cash at $15 per share. In addition, Sheffield Island issued 2,600 shares of $1 par value preferred stock for $3 per share. Journalize the issuance of the common and preferred shares. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
Rodriguez Corporation issues 15,000 shares of its common stock for $312,700 cash on February 20. Prepare journal entries to record this event under each of the following separate situations. The stock has a $20 par value. The stock has neither par nor stated value. The stock has a $10 stated value.
Vienna Corporation has 23,000 shares of $70 par common stock outstanding. On August 2, Vienna Corporation declared a 5% stock dividend to be issued October 8 to stockholders of record on September 15. The market price of the stock was $96 per share on August 2. Journalize the entries required on August 2, September 15, and October 8. If an amount box does not require an entry, leave it blank. If no entry is required, select "No Entry Required" and leave the amount boxes blank. Aug. 2 Sept. 15 Oct. 8
Vincent Corporation has 96,000 shares of $105 par common stock outstanding. On June 30, Vincent Corporation declared a 4% stock dividend to be issued on July 30 to stockholders of record July 15. The market price of the stock was $118 a share on June 30. If no entry is required, select "No Entry" and leave the amount boxes blank. Journalize the entry required on June 30. If an amount box does not require an entry, leave it blank. June 30 fill in the blank cf06c0f81f9603a_2 fill in the blank cf06c0f81f9603a_3 fill in the blank cf06c0f81f9603a_5 fill in the blank cf06c0f81f9603a_6 fill in the blank cf06c0f81f9603a_8 fill in the blank cf06c0f81f9603a_9 Journalize the entry required on July 15. If an amount box does not require an entry, leave it blank. July 15 fill in the blank 0abc8c04c05afdf_2 fill in the blank 0abc8c04c05afdf_3 fill in the blank 0abc8c04c05afdf_5 fill in the blank 0abc8c04c05afdf_6 Journalize the entry…
Larkspur, Inc. has 49,000 shares of $10 par value common stock outstanding. It declares a 10% stock dividend on December 1 when the market price per share is $19. The dividend shares are issued on December 31. Prepare the entries for the declaration and issuance of the stock dividend. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Dec. 1 Dec. 31 Account Titles and Explanation Debit Credit
Nexis Corp. issues 1,960 shares of $11 par value common stock at $15 per share. When the transaction is recorded, what credit entry or entries are made? a.Common Stock $29,400. b.Common Stock $21,560 and Paid-in Capital in Excess of Par Value $7,840. c.Common Stock $7,840 and Retained Earnings $21,560. d.Common Stock $21,560 and Paid-in Capital in Excess of Stated Value $7,840.
On January 1, 2021, Fascom had the following account balances in its shareholders' equity accounts. Common stock, $1 par, 250,000 shares issued $ 250,000 Paid-in capital—excess of par, common 500,000 Paid-in capital—excess of par, preferred 100,000 Preferred stock, $100 par, 10,000 shares outstanding 1,000,000 Retained earnings 2,000,000 Treasury stock, at cost, 5,000 shares 25,000 During 2021, Fascom Inc. had several transactions relating to common stock. January 15: Declared a property dividend of 100,000 shares of Slowdown Company (book value $10 per share, fair value $9 per share). February 17: Distributed the property dividend. April 10: A 2-for-1 stock split was declared and distributed on outstanding common stock and effected in the form of a stock dividend. (Fascom chose to reduce Paid-in capital—excess of par.) The fair value of the stock was $4 on this date. July 18: Declared and distributed a 3%…
Torres Inc. issues 40,000 shares of its $0.05 par value common stock for $70 per share. The journal entry to record the stock issuance will include a: Debit to Common Stock of $2,000. Credit to Common Stock of $2,800,000. Credit to Cash of $2,800,000. Credit to Additional Paid in Capital of $2,798,000.
McVie Corporation’s stock has a par value of $2. The company has the following transactions during the year: Feb. 28 Issued 340,000 shares at $4 share. Jun. 7 Issued 95,000 shares in exchange for equipment with a clearly determined value of $206,000. Sep. 19 Purchased 2,100 shares of treasury stock at $6 per share. Prepare the journal entries to record the transactions. If an amount box does not require an entry, leave it blank. Feb. 28 Jun. 7 Sept. 19

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