Green Caterers, Inc., was organized on May 4 of this year and has a charter that stipulates
Question:
a. 15,000 shares of preferred 9 percent stock, $ 15 par value
b. 65,000 shares of common stock, $ 5 par value Green Caterers, Inc., completed the following transactions during its first year of operations:
May 8 Received subscriptions to 24,000 shares of common stock at $ 25 per share; collected 65 percent of the subscription price.
June 7 Subscribers to 24,000 shares of common stock paid an additional 20 percent of the subscription price.
July 6 Subscribers to 24,000 shares of common stock paid an additional 15 percent of the subscription price. Green Caterers, Inc., issued the 24,000 shares of stock.
Required
Record the transactions in general journal form.
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...
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Related Book For
College Accounting
ISBN: 978-1111528126
11th edition
Authors: Tracie Nobles, Cathy Scott, Douglas McQuaig, Patricia Bille
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