Corporate Stocks transactions Horner Corporation is authorized to issue 1,000,000 shares of $5 par value common stock

Question:

Corporate Stocks transactions Horner Corporation is authorized to issue 1,000,000 shares of $5 par value common stock. During 2010, its first year of operation, the company has the following stock transactions.

Jan. 1 Paid the state $2,000 for incorporation fees.

Jan. 15 Issued 500,000 shares of stock at $6 per share.

Jan. 30 Attorneys for the company accepted 500 shares of common stock as payment for legal services rendered in helping the company incorporate. The legal services are estimated to have a value of $7,000.

July 2 Issued 100,000 shares of stock for land. The land had an asking price of $900,000.

The stock is currently selling on a national exchange at $8 per share.

Sept. 5 Purchased 15,000 shares of common stock for the treasury at $9 per share.

Dec. 6 Sold 11,000 shares of the treasury stock at $11 per share.

Instructions

Journalize the transactions for Horner Corporation.

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... Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing... 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... 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,...