Blue Spruce Corporation was organized on January 1, 2020. It is authorized to issue 12,000 shares of
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Question:
Blue Spruce Corporation was organized on January 1, 2020. It is authorized to issue 12,000 shares of 8%, $100 par value preferred stock, and 462,000 shares of no-par common stock with a stated value of $3 per share. The following stock transactions were completed during the first year.
Jan. | 10 | Issued 77,000 shares of common stock for cash at $6 per share. | |
Mar. | 1 | Issued 5,500 shares of preferred stock for cash at $110 per share. | |
Apr. | 1 | Issued 25,000 shares of common stock for land. The asking price of the land was $88,000. The fair value of the land was $84,000. | |
May | 1 | Issued 76,500 shares of common stock for cash at $5.25 per share. | |
Aug. | 1 | Issued 12,000 shares of common stock to attorneys in payment of their bill of $44,000 for services performed in helping the company organize. | |
Sept. | 1 | Issued 12,000 shares of common stock for cash at $7 per share. | |
Nov. | 1 | Issued 3,000 shares of preferred stock for cash at $112 per share. |
Post to the stockholders’ equity accounts.
Prepare the paid-in capital section of stockholders’ equity at December 31, 2020.
Related Book For
Intermediate Accounting IFRS
ISBN: 9781119607519
4th Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
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