On June 1, Rodero Inc. issues 3,000 shares of no-par common stock at a cash price of

Question:

On June 1, Rodero Inc. issues 3,000 shares of no-par at a cash price of $7 per share. Journalize the issuance of the shares. BE11-4 Merritt Inc. issues 8,000 shares of $100 preferred stock for cash at $106 per share. Journalize the issuance of the preferred stock.

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... 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,...