Tropp Corporation was just issued a charter by the state of New York. This charter gives Tropp

Question:

Tropp Corporation was just issued a charter by the state of New York. This charter gives Tropp the authority to issue 150,000 shares of $10 par-value common stock. Consider the following transactions:

1. Prepare journal entries to record the transactions of Tropp Corp. for the month of September.

2. Prepare the Paid-In Capital section of Tropp's Corporation's balance sheet at the end of the month.

201X

Sept. 8 Issued 1,800 shares of stock for land and building with fair market values of $16,000 and $17,750, respectively.

13 Accepted subscriptions to 18,000 shares of stock for $258,000 to be paid in two equal installments.

19 Collected first installment on 9,000 shares of common stock subscribed on September 13.

25 Sold 6,000 shares of stock for $88,000.

27 Collected last installment on 9,000 shares of common stock subscribed on September 13 and issued the shares.

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... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...