During its first year of operations, Bethany Inc. completed the following transactions relating to shareholders equity. January
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Question:
During its first year of operations, Bethany Inc. completed the following transactions relating to shareholders' equity.
January | 5: | Issued 340,000 of its common shares for $8 per share and 3,400 preferred shares at $110. | ||
February | 12: | Issued 54,000 shares of common stock in exchange for equipment with a known cash price of $318,000. Assume recent equipment price is deemed more accurate than stock price. |
The articles of incorporation authorize 5,000,000 shares with a par of $1 per share of common and 1,000,000 preferred shares with a par of $100 per share.
Required:
Record the above transactions in general journal form. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Related Book For
Financial Accounting
ISBN: 978-1118978085
IFRS 3rd edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
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