Record the foregoing transactions E. Received subscription for 20,000 shares at P550 per share,500 par value, receiving 25% down payment. F. Collected balance of the subscription price on the 12,000 shares subscribed in (e) and share certificates were accordingly issued.

Record the foregoing transactions E. Received subscription for 20,000 shares at P550 per share,500 par value, receiving 25% down payment. F. Collected balance of the subscription price on the 12,000 shares subscribed in (e) and share certificates were accordingly issued.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

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: At 1 January 20X9, company X had in issue 10 million ordinary shares. On 30 April 20X9, company X…

A: Earnings per share (EPS) is one of the important calculation done in business. This is calculated by…

Q: ABC Ltd, issued a prospectus for inviting application from the public for 10,000 equity shares of "…

A: Introduction:- A journal entry is the act of recording or keeping track of any financial or…

Q: V6. On January 1, Stunt Corp. had outstanding convertible bonds with a face value of $1,000,000 and…

A: Lets understand the basics. Bond is a liability of the company but on other hand equity is a owners…

Q: Advance Medical Imaging, Inc. reacquired 2,000 shares of its $5 par common stock at $15 a share. The…

A: “Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Muscat Co. issues 4,500 ordinary shares with a RO 12 par value at RO 21 per share. What should be…

A: Journal entry: It is a set of economic events that can be measured in monetary terms. These are…

Q: PROBLEM 8-3 Brunei Company has 50,000 shares of P10 par value share capital outstanding. In…

A: Recording Journal entries are the modern method of recording business related transactions in which…

Q: Sully Sports Cars Co. entered into a subscription contract with various investors. The terms were as…

A: Journal means the book of original entry where the entry is passed for the very first time after…

Q: td have issued 220,000 ordinary shares at a price of £1.40 e hal value of 95 pence each. is the…

A: Journal Entry -Business transactions are entered into your financial books through the procedure of…

Q: ABC issued 10,000 common shares with a par value of $ 5 and a market value of $ 25 per share along…

A: The correct answer is Option (a).

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: 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: Foley Co. bought 50 shares of its stock for $8 per share to be held as Treasury Stock. Record this…

A: The treasury stock are the purchase of its own shares from the market.

Q: Vaughn Corporation sold 390 shares of treasury stock for $55 per share. The cost for the shares was…

A: A journal entry is a formal accounting record used to capture and record financial transactions in a…

Question

100%

Record the foregoing transactions

E. Received subscription for 20,000 shares at P550 per share,500 par value, receiving 25% down payment.

F. Collected balance of the subscription price on the 12,000 shares subscribed in (e) and share certificates were accordingly issued.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

A corporation accepted subscriptions to 25,000 shares of no par value common at $5.50 per share. The subscription contracts called for 20% down payments with the balance in 30 days. The explanations for several entries involving these shares follow. Complete the entries. DATE ACCOUNT TITLES AND EXPLANATION P.R. DEBIT CREDIT Sept. 5 Accepted subscriptions to 25,000 shares of common at $5.50 per share. Received $27,500 from the common share subscribers as down payments on their shares. Oct. Received payment in full of the balance due on the September 5 common share subscriptions. 5 Issued the common shares of the fully paid subscribers.
mc attached
Prepare the journal entry to record Autumn Company's issuance of 68,000 shares of no-par value common stock assuming the shares: a. Sell for $31 cash per share. b. Are exchanged for land valued at $2,108,000.
Nizwa Co. issues 2,000 ordinary shares with a RO 10 par value at RO 16 per share. What should be recorded for this transaction.
In 2007, Xero Ltd. offered a subscription of 15 million shares at an offer price of $1.00 per share with the ability to accept oversubscriptions of up to $3 million. The prospectus detailed the requirement that all applications must be accompanied by payment in full for the total number of shares applied for and stated that application monies will be banked upon receipt into a designated bank account and held on trust pending the allocation of shares. Required: Assuming all 18 million shares were applied for, prepare the journal entry to record the receipt of application monies. Apart from recording a cash inflow, explain whether Xero should also record another asset, a liability, revenue or an expense upon collection of application monies, and explain why.
E14-4 Issuing shares payable by instalments [10–15 min] Riverside Ltd is issuing shares payable by instalments. It completed the following transactions: Received an application for 2000 ordinary shares with a total issue price of $10 per share. The applicant paid one-quarter of the total issue price. Allotted the 2000 shares and collected a further half of the total issue price. Made a call on the shares and collected the balance still due. May 3 May 18 Aug 3 Requirement Record these transactions in the general journal. Explanations aren't required.