Moosonee Ltd. was incorporated on January 5, 2012, and is authorized to issue an unlimited number of preferred and common shares. The company had the following share transactions in its first month of operations:
Jan. 6 Issued 200,000 common shares for $1.50 per share.
12 Issued 50,000 common shares for $1.75 per share.
17 Issued 10,000 preferred shares for $25 per share.
18 Issued 500,000 common shares for $2 per share.
24 Reacquired 200,000 common shares for $1.90 per share.
27 Reacquired 5,000 preferred shares for $22 per share.
Instructions
(a) Record the above transactions.
(b) What is the number of preferred shares remaining, and their average cost, at the end of January?
(c) What is the number of common shares remaining, and their average cost, at the end of January?