Question: Question Three (25 points) (Smarks each) Orange Corp. was organized on January 1, 2014. It is authorized to issue 800,000 shares of 8%, $100 par

Question Three (25 points) (Smarks each) Orange Corp. was organized on January 1, 2014. It is authorized to issue 800,000 shares of 8%, $100 par value preference shares, and 2,200,000 shares of ordinary shares with a par value of $2 per share. The following share transactions were completed during the first year. Feb. Ist Issued 200,000 ordinary shares for cash at $8 per share. Mar. 2nd Issued 40,000 ordinary shares to lawyer in payment of their fees of $100,000 for services rendered in helping the company organize. Apr. 14th Issued 50,000 ordinary shares for cash at $7 per share. Jun. 15th Issued 40,000 preference shares for cash at $140 per share. Jun. 20th Issued 40,000 ordinary shares for Equipment. The asking price of the equipment was $160,000; the fair value of the equipment was $120,000. Instructions Prepare the journal entries to record the above transactions

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