Required information PA11-1 (Algo) Analyzing Accounting Equation Effects, Recording Journal Entries, and Preparing a Partial Balance Sheet Involving Stock Issuance and Purchase Transactions [LO 11-2] [The following information applies to the questions displayed below.] a. Global Marine obtained a charter from the state in January that authorized 1,000,000 shares of common stock, $5 par value. During the first year, the company earned $420,000 of net income and declared no dividends; the following selected transactions occurred in the order given: a. b. C. C. d. d. a. Issued 120,000 shares of the common stock at $57 cash per share. b. Reacquired 27,000 shares at $52 cash per share. PA11-1 (Algo) Part 1 c. Reissued 11,000 shares from treasury for $53 per share. d. Reissued 11,000 shares from treasury for $51 per share. Required: 1. Indicate the account, amount, and direction of the effect on above transaction. (Enter any decreases to Assets, Liabilities and Stockholders' Equity with a minus sign.) Assets = = = = = = = = Liabilities + + + + + + Stockholders' Equity
Required information PA11-1 (Algo) Analyzing Accounting Equation Effects, Recording Journal Entries, and Preparing a Partial Balance Sheet Involving Stock Issuance and Purchase Transactions [LO 11-2] [The following information applies to the questions displayed below.] a. Global Marine obtained a charter from the state in January that authorized 1,000,000 shares of common stock, $5 par value. During the first year, the company earned $420,000 of net income and declared no dividends; the following selected transactions occurred in the order given: a. b. C. C. d. d. a. Issued 120,000 shares of the common stock at $57 cash per share. b. Reacquired 27,000 shares at $52 cash per share. PA11-1 (Algo) Part 1 c. Reissued 11,000 shares from treasury for $53 per share. d. Reissued 11,000 shares from treasury for $51 per share. Required: 1. Indicate the account, amount, and direction of the effect on above transaction. (Enter any decreases to Assets, Liabilities and Stockholders' Equity with a minus sign.) Assets = = = = = = = = Liabilities + + + + + + Stockholders' Equity
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![a.
PA11-1 (Algo) Part 1
a.
Required information
PA11-1 (Algo) Analyzing Accounting Equation Effects, Recording Journal Entries, and Preparing a Partial
Balance Sheet Involving Stock Issuance and Purchase Transactions [LO 11-2]
[The following information applies to the questions displayed below.]
Required:
1. Indicate the account, amount, and direction of the effect on above transaction. (Enter any decreases to Assets, Liabilities and
Stockholders' Equity with a minus sign.)
b.
Global Marine obtained a charter from the state in January that authorized 1,000,000 shares of common stock, $5 par
value. During the first year, the company earned $420,000 of net income and declared no dividends; the following
selected transactions occurred in the order given:
C.
d.
d.
a. Issued 120,000 shares of the common stock at $57 cash per share.
b. Reacquired 27,000 shares at $52 cash per share.
c. Reissued 11,000 shares from treasury for $53 per share.
d. Reissued 11,000 shares from treasury for $51 per share.
Assets
II
Liabilities
+
+
+
+
Stockholders' Equity](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fceab86b0-3173-4045-97a5-fc4589002016%2F0c0fd7c3-b71f-422c-86ab-74c873fcf14f%2Fmcqfoe_processed.png&w=3840&q=75)
Transcribed Image Text:a.
PA11-1 (Algo) Part 1
a.
Required information
PA11-1 (Algo) Analyzing Accounting Equation Effects, Recording Journal Entries, and Preparing a Partial
Balance Sheet Involving Stock Issuance and Purchase Transactions [LO 11-2]
[The following information applies to the questions displayed below.]
Required:
1. Indicate the account, amount, and direction of the effect on above transaction. (Enter any decreases to Assets, Liabilities and
Stockholders' Equity with a minus sign.)
b.
Global Marine obtained a charter from the state in January that authorized 1,000,000 shares of common stock, $5 par
value. During the first year, the company earned $420,000 of net income and declared no dividends; the following
selected transactions occurred in the order given:
C.
d.
d.
a. Issued 120,000 shares of the common stock at $57 cash per share.
b. Reacquired 27,000 shares at $52 cash per share.
c. Reissued 11,000 shares from treasury for $53 per share.
d. Reissued 11,000 shares from treasury for $51 per share.
Assets
II
Liabilities
+
+
+
+
Stockholders' Equity
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