Identifying and Analyzing Financial Statement Effects of Stock Transactions Melo Company reports the following transactions relating...

Transcribed Image Text:

Identifying and Analyzing Financial Statement Effects of Stock Transactions Melo Company reports the following transactions relating to its stock accounts in the current year. Use the financial statement effects template to indicate the effects from each of these transactions. (a) Mar. 2 Issued 16,000 shares of $1 par value common stock at $30 cash per share. (b) Apr. 14 Issued 24,000 shares of $100 par value, 8% preferred stock at $250 cash per share. (c) June. 30 Purchased 4,800 shares of its own common stock at $22 cash per share. (d) Sep. 25 Sold 2,400 shares of its treasury stock at $26 cash per share. Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount. Transaction Cash Asset (a) March 2 (b) April 14 (c) June 30 (d) Sep. 25 Noncash Assets Balance Sheet Liabilities Contrib. Capital Common Stock Preferred Stock Treasury Stock Earned Capital Revenues Income Statement Expenses Net Income Identifying and Analyzing Financial Statement Effects of Stock Transactions Melo Company reports the following transactions relating to its stock accounts in the current year. Use the financial statement effects template to indicate the effects from each of these transactions. (a) Mar. 2 Issued 16,000 shares of $1 par value common stock at $30 cash per share. (b) Apr. 14 Issued 24,000 shares of $100 par value, 8% preferred stock at $250 cash per share. (c) June. 30 Purchased 4,800 shares of its own common stock at $22 cash per share. (d) Sep. 25 Sold 2,400 shares of its treasury stock at $26 cash per share. Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount. Transaction Cash Asset (a) March 2 (b) April 14 (c) June 30 (d) Sep. 25 Noncash Assets Balance Sheet Liabilities Contrib. Capital Common Stock Preferred Stock Treasury Stock Earned Capital Revenues Income Statement Expenses Net Income