Whispering Winds Corp. was organized on January 1, 2020. It is authorized to issue 14,000 shares of 8%, $100 par value preferred stock, and 497,000 shares of no-par common stock with a stated value of $3 per share. The following stock transactions were completed during the first year: Jan. 10 Issued 79,500 shares of common stock for cash at $6 per share. Mar. 1 Issued 5,200 shares of preferred stock for cash at $110 per share. Apr. 1 Issued 24,000 shares of common stock for land. The asking price of the land was $94,500. The fair value of the land was $83,500. May 1 Issued 79,500 shares of common stock for cash at $4.50 per share. Aug. 1 Issued 10,000 shares of common stock to attorneys in payment of their bill of $42,500 for services performed in helping the company organize. Sept. 1 Issued 10,000 shares of common stock for cash at $7 per share. Nov. 1 Issued 1,000 shares of preferred stock for cash at $109 per share. A.) Journalize the transactions. Date Account Titles and Explanation Debit Credit Date Date Date Date Date Date Date B.) Post to the stockholders’ equity accounts. Preferred Stock Paid-in Capital in Excess of Par Value-Preferred Stock Common Stock Paid-in Capital in Excess of Stated Value-Common Stock C.) Prepare the paid-in capital section of stockholders’ equity at December 31, 2020. Whispering Winds Corp. Balance Sheet (Partial) $

Whispering Winds Corp. was organized on January 1, 2020. It is authorized to issue 14,000 shares of 8%, $100 par value preferred stock, and 497,000 shares of no-par common stock with a stated value of $3 per share. The following stock transactions were completed during the first year: Jan. 10 Issued 79,500 shares of common stock for cash at $6 per share. Mar. 1 Issued 5,200 shares of preferred stock for cash at $110 per share. Apr. 1 Issued 24,000 shares of common stock for land. The asking price of the land was $94,500. The fair value of the land was $83,500. May 1 Issued 79,500 shares of common stock for cash at $4.50 per share. Aug. 1 Issued 10,000 shares of common stock to attorneys in payment of their bill of $42,500 for services performed in helping the company organize. Sept. 1 Issued 10,000 shares of common stock for cash at $7 per share. Nov. 1 Issued 1,000 shares of preferred stock for cash at $109 per share. A.) Journalize the transactions. Date Account Titles and Explanation Debit Credit Date Date Date Date Date Date Date B.) Post to the stockholders’ equity accounts. Preferred Stock Paid-in Capital in Excess of Par Value-Preferred Stock Common Stock Paid-in Capital in Excess of Stated Value-Common Stock C.) Prepare the paid-in capital section of stockholders’ equity at December 31, 2020. Whispering Winds Corp. Balance Sheet (Partial) $

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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Jan.	10	Issued 79,500 shares of common stock for cash at $6 per share.
Mar.	1	Issued 5,200 shares of preferred stock for cash at $110 per share.
Apr.	1	Issued 24,000 shares of common stock for land. The asking price of the land was $94,500. The fair value of the land was $83,500.
May	1	Issued 79,500 shares of common stock for cash at $4.50 per share.
Aug.	1	Issued 10,000 shares of common stock to attorneys in payment of their bill of $42,500 for services performed in helping the company organize.
Sept.	1	Issued 10,000 shares of common stock for cash at $7 per share.
Nov.	1	Issued 1,000 shares of preferred stock for cash at $109 per share.

A.) Journalize the transactions.

Date	Account Titles and Explanation	Debit	Credit
Date


Date


Date


Date


Date


Date


Date

B.) Post to the stockholders’ equity accounts.

Preferred Stock

Paid-in Capital in Excess of Par Value-Preferred Stock

Common Stock

Paid-in Capital in Excess of Stated Value-Common Stock

C.) Prepare the paid-in capital section of stockholders’ equity at December 31, 2020.

Whispering Winds Corp. Balance Sheet (Partial)


		$



	$


		$

Post to the stockholders equity accounts. (Pecterriesin theorder cofjournal entries pesented in the previous part)
Preferred Stock
Paid-in Capital in Excess of Par Value-Preferred Stock
Common Stock
Paid-in Capital in Excess of Stated Value-Common Stock

Prepare the paid-in capital section of stockholders' equity at December 31, 2020. (Enter the account name only and do not provide
the descriptive information provided in the question.)
Whispering Winds Corp.
Balance Sheet (Partial)
%24

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