Fundamental Accounting Principles
Fundamental Accounting Principles
23rd Edition
ISBN: 9781259536359
Author: John J Wild, Ken Shaw Accounting Professor, Barbara Chiappetta Fundamental Accounting Principles
Publisher: McGraw-Hill Education
Question
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Chapter 13, Problem 3E
To determine

Issuance of Stock at par, stated and no-par: Par value and stated value are the value of a stock as mentioned in the issuing company’s charter. It is the minimum amount that must be paid per share and it’s the value which is printed on the share certificate. Shares could be exchanged for services to promoters, attorneys etc or purchasing Assets like land, building etc.

Requirment 1:

To determine:

Accounting entry for issuing shares 4000 at $5 per share for $35000 cash.

To determine

Requirement 2:

To determine:

Accounting entry for issuing shares in lieu of efforts put in by promoters.

To determine

Requirement 3:

To determine:

Accounting entry for issuing shares in lieu of efforts put in by promoters.

To determine

Requirement 4:

To determine:

Accounting entry for preferred stock issued.

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Fundamental Accounting Principles

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