Question: Assuming after 60 days, only subscribers at 3,000 preference share paid the balance, the entry to record the issuance of preference shares includes a credit to Share-Premium Preference at ________________.

Q: Lily Company issues 5,000 shares of its $2 common stock when the market price is $5 per share. The…

A: Journal entry is the procedure for initially documenting commercial transactions in the books of…

Q: Nebraska Inc. issues 2,350 shares of common stock for $75,200. The stock has a stated value of $13…

A: Common stock refers to a security that speaks to ownership in an organization. Holders of common…

Q: Sandhill Ltd. offered to sell common shares on a subscription basis. Each subscription allowed for…

A: Share subscription is the procedure through which people or organizations buy freshly issued shares…

Q: Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock,…

A: The shares issued at the higher amount as compared to par value are the shares issued at premium.…

Q: On 30 March 20X4, Jason Inc subscribed to purchase 1,600 common shares of BIT-Split Corporation for…

A: Stock (or shares) subscribed by an investor is recorded on the asset side of the balance sheet. The…

Q: Apple Corporation was authorized to issue 10,000 preference shares of P200 par value and 100,000…

A: Premium amount is the difference between the subscription price and face value If the subscription…

Q: Righty, Inc., entered into a stock subscription contract that called for the purchase by investors…

A: No of shares subscribed = 10,000 shares Par value of common stock = 10,000 x $ 10 = $100,000…

Q: *I need help on the Dec 31 entire entry (see attached): HW15-01A: On January 23, 15,000 shares of…

A: Journal entry: A journal entry is used to record day-to-day transactions of the business by debiting…

Q: Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock,…

A: A Journal entry is a primary entry that records the financial transactions initially. The…

Q: Elk Co. issues 1,000 shares of $5 par common stock for $30,000. The firm used Pilot’s Underwriting…

A: The shares can be issued for cash or non cash assets. The excess amount received for shares issued…

Q: ABC is authorized to issue 20,000 shares of $1 par value stock. On Feb. 1, it issues 4,000 shares.…

A: Treasury shares are those shares which are being repurchased by the company from its shareholders.…

Q: On September 12, 2,600 shares of Aspen Company are acquired at a price of $48.00 per share plus a…

A: 1. CALCULATION FOR PURCHASE OF INVESTMENT : = (2,600 X $48) + $130  = $124,930   2. CALCULATION OF…

Q: On September 12, 3,800 shares of Aspen Company are acquired at a price of $60.00 per share plus a…

A: Brokerage commission paid to purchase the shares will be added to the cost of the shares.

Q: Prepare journal entries to record the transactions.

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

Q: Required: 1.Prepare a memorandum entry

A: Shares: Shares can be defined as the securities held by the individual that reflect the ownership of…

Q: Sunshine Clothing Company issues 1,000 shares of $1 par value common stock at $30 per share. Later…

A: When a company purchases its own stock, it is referred to as treasury stock. This repurchase can…

Q: Sunshine Clothing Company issues 1,000 shares of $1 par value common stock at $33 per share. Later…

A: Stock repurchase, also known as buying back shares or repurchasing treasury stock, is when a company…

Q: Crane Ltd. offered to sell common shares on a subscription basis. Each subscription allowed for the…

A: In the accounting books of the business organizations the journal entry served as a record of its…

Q: On February 3, Year 1, Teel Corporation enters into a subscription contract with several subscribers…

A: Teel Corporation Journal Entry - February 3, Year 1Transaction: Record the receipt of the down…

Q: amount credited to share premium from ordinary shares?

A: Total amount of issue P3,000,000 Less Ordinary shares at par value (25,000 shares @P50)…

Q: On February 3, Year 1, Teel Corporation enters into a subscription contract with several subscribers…

A: To record the receipt of the down payment and signing of the contract on February 3, Year 1, you…

Q: Sheffield Island Corporation began operations on April 1 by issuing 52,500 shares of $5 par value…

A: The journal entries are the first step of the accounting process that are prepared to record the…

Q: Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock,…

A: The journal entries are prepared to keep the record of day to day transactions of the business of…

Q: Prepare the journal entries for the original purchase, the dividend, and the sale under the cost…

A:

Q: Required: Prepare the journal entries to record above transactions.

A: Journal Entry Here to prepare the journal entry to prepare the subscription of shares issued and the…

Q: a) Record the journal entry for the initial transaction. b) What is the Journal entry at the time…

A: Any Excess amount received in excess of the Par Value of common Stock is known as Premium.

Q: What is the journal entry for the authorization to issue shares?

A: Shares are defined as the company’s holdings that are provided to the investors or any person who…

Q: On July 1, 2021, Nall Co. issued 2,500 shares of its $10 par common stock and 5,000 shares of its…

A: The shares are issued at premium or discount depending on the market rates of shares. The shares…

Q: FPJ Inc. received subscription for 5,250 Preference Shares at P 10 above par value of P 200 per…

A: Common shares and Preference shares are two type of shares being issued by the company for raising…

Q: BFAR Corp. was authorized to issue 200,000 ordinary shares with P50 par value. The company had the…

A: Number of outstanding shares are those shares which are issued and held by the investors. Shares…

Q: ABC Corporation issues 5,000 ordinary shares with a $50 par value for cash at $55 per share. The…

A: At the time of issue of shares, any amount received over and above par value of shares is known as…

Q: Blue Corporation issues 200 “packages” of securities for $80 per package, or a total of $16,000 on…

A:

Q: July 1- Sold 1,000 subscriptions for common shares at $20 per share. Subscribers paid $5 per share…

A: Common shares can be issued on subscriptions basis where shares are issued on receipt of last…

Q: Liberward, Inc., sold and issued 1,000 shares for $15 per share. The book value of the shares was…

A: Shares are a mean of raising capital from the shareholders. Shares can be ordinary shares or…

Q: Bulacan Corporation was organized on June 1, 2021 with authorized share capital of 400,000, 9%…

A: Journal entries: Journal entries are the primary recording makes in the books of account. All the…

Q: Surfer Girl Clothing Company issues 1,000 shares of $1 par value common stock at $25 per share.…

A: When a company purchases its own stock, it is referred to as treasury stock. This repurchase can…

Q: 5,000 shares of common stock for $16 t to Common Stock for $5.000

A: Answer : Issue share =5000 Stated Value per share = $12 Value of common stock = No. of common share…

Q: Heart Corporation entered into a subscription contract with several subscribers on December 31. The…

A: A journal entry is a record of a financial transaction in a company's accounting system. It captures…

Q: A corporation accepted subscriptions to 25,000 shares of no par value common at $5.50 per share. The…

A: Firms are required by law to have set a par value for their shares or stocks. By not setting the…

Q: BFAR Corp. was formed on June 1 with 100,000 authorized shares having a par value of P20. The…

A: when company issue share capital and shares to the shareholders there received application allotment…

Stockholder's Equity

The stockholders’ equity (often referred to as the book value of the company) is the number of assets available to the stockholder after its entire liabilities is paid off. The stockholders’ equity is also sometimes referred to as owner's equity. The stockholders’ equity or book value generally includes common stock, treasury stock retained earnings. It is an indicator of a company's financial strength and is an important item on the company's balance sheet.