Waterway Corporation is authorized to issue 53,000 shares of $5 par value common stock. During 2025, Waterway took part in thefollowing selected transactions.a.b.C.d.Issued 5,100 shares of stock at $49 per share, less costs related to the issuance of the stock totaling $6,800.Issued 1,100 shares of stock for land appraised at $53,000. The stock was actively traded on a national stock exchange atapproximately $50 per share on the date of issuance.Purchased 480 shares of treasury stock at $41 per share. The treasury shares purchased were issued in 2021 at $38 pershare.Retired the treasury shares purchased in part (c).Prepare the journal entries to record these transactions using the cost method. (List all debit entries before credit entries. Credit accounttitles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the accounttitles and enter O for the amounts.)

Journalizing is the process of recording financial transactions in a journal or ledger, helping…

Answered: Waterway Corporation is authorized to…

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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Answer the following:a. On July 6, Omanair Corporation issued 4,500 ordinary shares with a RO 7.50 par value. The stated price of the shares on that date was RO 12.50 per share. Journalize the issuance of the shares. b. Duqm Corporation is authorized to issue 1,600,000 ordinary shares with a RO 1.75 par value. During 2020, the company has the following share transactions.Jan. 15 Issued 520,000 ordinary shares at RO 2.50 per share.Provide the journal entry for January 15.
Fleurage Inc. is a public enterprise whose shares are traded in the over the counter market. At December 31, 2020, Fleurage had 6,000,000 authorized shares of P10 par value common stock, of which 2,800,000 shares were issued and outstanding. The stockholders' equity accounts at December 31, 2020, had the following balances. . Transactions during 2021 and other information relating to the stockholders' equity accounts were as follows: . . On January 5, 2021, Fleurage issued at P56 per share, 125,000 shares of P50 par value, 9% cumulative convertible preferred stock. Each share of preferred stock is convertible, at the option of the holder, into two shares of common stock. Fleurage. had 600,000 authorized shares of preferred stock. The preferred stock has a liquidation value equal to 125% of its par value. . Share Capital-Ordinary Share Premium-Ordinary Retained earnings . On February 1, 2021, Fleurage reacquired 25,000 shares of its common stock for P16 per share, Fleurage uses the cost…
LALALAND Corporation was organized on 1/1/2020. It was authorized to issue 2 million, $1 par, common stock. During the year, the company had the following transactions: January 5- Issued 400,000 common shares for cash, at $ 1.00 each. February 7- issued 250,000 common shares for cash, at $ 1.50 each. April 3- Reacquired 10,000 of its common shares, by paying $ 3,00 per share. June 17- Sold 5,000 of its treasury stock, at a price of $ 4,00 per share. September 20- Sold all the remaining treasury stock it has, at a price of $ 3.2 per share. October 30- Reacquired 20,000 of its common shares, at $ 2.5 per share. Question: If you know that Retained Earnings are $ 60,000, What is the dollar value of Total Stockholders' Equity, at year end?
Blue Devil Inc. completed the following transactions of stock issuance, treasury stock and stock dividends during 2019 respectively. Prepare the journal entries for all these transactions. Each transaction is independent from the others. (1) On June 15, Blue Devil issued 20,000 shares of $10 par value common stock for cash of $15 per share. (2) On September 7, Blue Devil sold 5,000 shares of $5 par value preferred stock in exchange for a piece of equipment with a current market value of $75,000. (3) On October 19, Blue Devil repurchased 2,000 shares of the outstanding common stock at the market value of $25 per share (par value of $10).
Swifty Corporation is authorized to issue 250,000 shares of $1 par value common stock. During 2020, Swifty Corporation took part in the following selected transactions. 1. Issued 52,000 shares of stock at $73 per share, less costs related to the issuance of the stock totaling $28,600. Issued 12,000 shares of stock for land appraised at $942,000. The stock was actively traded on a national stock exchange at $75 per share on the date of issuance. 2. 3. Purchased 6,200 shares of treasury stock at $71 per share. The treasury shares purchased were issued in 2009 at $48 per share. (a) Prepare the journal entry to record item 1. (b) Prepare the journal entry to record item 2. (c) Prepare the journal entry to record item 3 using the cost method. (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.) No. Account Titles and Explanation Debit Credit (a) (b)…
On July 1, 2021, Nall Co. issued 2,500 shares of its $10 par common stock and 5,000 shares of its $12 par preferred stock for a lump sum of $140,000. At this date Nall's common stock was selling for $18 per share and the preferred stock for $24 per share. A. Record the journal entry for this allocation and insurance using the proportional method. Record the journal entry for this allocation and issuance using the incremental method, assuming you do not have the market value for preferred stock.
Dakota Corporation had the following shareholders' equity account balances at December 31, 2018: Transactions during 2019 and other information relating to the shareholders' cquity accounts were as follows:1. Dakota's preferred and common shares are traded on the over-the-counter market. At December 31, 2018,Dakota had 100,000 authorized shares of $100 par, 10%, cumulative preferred stock; and 3,000,000 autho-rized shares of no-par common stock with a stated value of $5 per share.2. On January 9, 2019, Dakota formally retired all 30,000 shares of its treasury common stock and had them revert to an unissued basis. The treasury stock had been acquired on January 20, 2018. The shares were originally issued at $10 per share,3. Dakota owned 10,000 shares of Bush Inc, common stock purchased in 2016 for $750,000. The Bush stock was included in Dakota's short-term marketable securities portfolio at the end of 2018 at a value of $650,000.On February 13, 2019, Dakota declared a dividend in kind…
Steam Room Inc. (SRI) has 15,000 shares issued in total. Assume that on January 1, 2021, Omega Corporation acquired 35% of SRI's shares for $45 per share. Omega is assumed to have significant influence over SRI and will use the equity method to account for its investments. For the year ended December 31, 2021, SRI reported profit of $800,000 and declared and paid $50,000 in cash dividends. At December 31, 2021, SRI's common shares were traded at $50 each but dropped to $35 by January 31, 2022. The ending balance of Omega's investment account in SRI on December 31, 2021 is $525,000. $498,750. $533,750. O $560,000.
The corporate charter of Alpaca Company authorized the issuance of 10 million, $1 par common shares. During 2024, its first year of operations, Alpaca had the following transactions: January 1 sold 8 million shares at $15 per share June 3 retired 2 million shares at $18 per share December 28 sold 2 million shares at $20 per share What amount should Alpaca report as additional paid-in capital—excess of par, in its December 31, 2024, balance sheet
Young Corporation has been operating successfully for several years. It is authorized to issue 24,000 shares of no-par common stock and 6,000 shares of 8%, $100 par preferred stock. The Contributed Capital section of its January 1, 2019, balance sheet is as follows: 1. Answer the questions in Part a. 2. Prepare journal entries to record the transactions in Part b. 3. Prepare the Cobtributed Capital section of Young’s December 31, 2016, balance sheet.
Oriole Corporation has 100000 shares of $10 par common stock authorized. The following transactions took place during 2025, the first year of the corporation's existence: Sold 20700 shares of common stock for $14.50 per share. Issued 20400 shares of common stock in exchange for a patent valued at $306000. At the end of Oriole's first year, total paid-in capital was $300150. $606150. $306000. O $120700.
Riverbed Corporation was organized on January 1, 2022. It is authorized to issue 14,500 shares of 8%, $100 par value preferred stock, and 475,000 shares of no-par common stock with a stated value of $2 per share. The following stock transactions were completed during the first year. Jan. 10 Mar. 1 Apr. May Aug. 1 Issued 83,000 shares of common stock for cash at $5.25 per share. Issued 12,000 shares of common stock to attorneys in payment of their bill of $40,500 for services performed in helping the company organize. Sept. 1 Issued 11,500 shares of common stock for cash at $5 per share. Nov. 1 Issued 2,500 shares of preferred stock for cash at $111 per share. (a) 1 Issued 84,500 shares of common stock for cash at $4 per share. Issued 4,050 shares of preferred stock for cash at $110 per share. Issued 24,000 shares of common stock for land. The asking price of the land was $88,500. The fair value of the land was $83,500. 1 Journalize the transactions. (List all debit entries before…

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