The Century Philippines Corporation has been authorized to issue 100,000 shares on December 1, 2014. Seven incorporators subscribed 25% of the authorized shares at par value of P120. The subscription requires 25% down payment, 50% payment on the balance after 60 days and remainder payable after 90 days from the date of subscription. The following are the additional transactions for 2015: 

Jan 3- Issued 4,000 shares and collected cash of P105 per share

Jan 4- Received subscription from several subscribers for 3,000 shares at P108 per share. A 25% down payment was received from the subscribers.

Jan 10- Professional fees amounting to P100,000 were paid to Quality Consultancy Inc. who made a feasibility study and worked on the legal papers needed for its incorporation

Jan 12- A lot worth P550,000 was received in exchange for 5,000 shares

Jan 30-First installment payment was collected from the incorporators Mar 1- The incorporators paid the balance of their accounts June 20- Subscription on

Jan 4 for 2,000 shares were collected in full. Issued the corresponding stock certificates. 

 

 

Requirement: Journalize the transaction starting from December 1 to June 20. Each journal entry corresponds to 1 point.

Answer rating: 100% (QA)

Date Accounts Debit P Credit P Dec 1 2014 Subscription Receivable Ordinary 1000002580 2000000 Subscr... View the full answer