Bramble Corp. began operations on April 1 by issuing 64,800 shares of $5 par value common stock for cash at $17 per share. On April 19. it issued 1,650 shares of common stock to attorneys in settlement of their bill of $27,000 for organization costs. In addition Bramble issued 800 shares of $1 par value preferred stock for $6 cash per share,

Journalize the issuance of the common and preferred shares, assuming the shares are not publicly traded. 

Transcribed Image Text:

Date Apr 1 Apr. 19 v Apr. 19 V Account Titles and Explanation Cash Common Stock Paid-in Capital in Excess of Par-Common Stock Organization Expense Common Stock Paid-in Capital in Excess of Par-Common Stock (To record issuance of common stock for attorney's fees) Cash Preferred Stock Paid-in Capital in Excess of Par-Preferred Stock (To record issuance of Preferred stock for cash) Debit 1101600 180 Credit Date Apr 1 Apr. 19 v Apr. 19 V Account Titles and Explanation Cash Common Stock Paid-in Capital in Excess of Par-Common Stock Organization Expense Common Stock Paid-in Capital in Excess of Par-Common Stock (To record issuance of common stock for attorney's fees) Cash Preferred Stock Paid-in Capital in Excess of Par-Preferred Stock (To record issuance of Preferred stock for cash) Debit 1101600 180 Credit

Answer rating: 100% (QA)

Journal entries Date General Journal Debit Credit Apr 1 Cash 6480017 ... View the full answer