Santana Rey created Business Solutions on October 1, 2020. The company has been successful, and Santana...

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Santana Rey created Business Solutions on October 1, 2020. The company has been successful, and Santana plans to expand her business. She believes that an additional $116,000 is needed and is investigating three funding sources. a. Santana's sister Cicely is willing to invest $116,000 in the business as a common shareholder. Because Santana currently has about $174,000 invested in the business, Cicely's investment will mean that Santana will maintain about 60% ownership and Cicely will have 40% ownership of Business Solutions. b. Santana's uncle Marcello is willing to invest $116,000 in the business as a preferred shareholder. Marcello would purchase 1,160 shares of $100 par value, 9% preferred stock. c. Santana's banker is willing to lend her $116,000 on a 9%, 10-year note payable. She would make monthly payments of $1,469 for 10 years. Required: 1. Prepare the journal entry to reflect the initial $116,000 investment under each of the options (a), (b), and (c). years. Required: 1. Prepare the journal entry to reflect the initial $116,000 investment under each of the options (a), (b), and (c). View transaction list Journal entry worksheet 1 2 3 Record the issue of common stock of $116,000 cash. Note: Enter debits before credits. Transaction a. General Journal Debit Credit View general journal Record entry Clear entry View transaction list Journal entry worksheet < 1 2 3 Record the issue of preferred stock of $116,000 cash. Note: Enter debits before credits. Transaction b. General Journal Debit Credit Record entry Clear entry View general journal View transaction list Journal entry worksheet < 1 2 3 Record the issue of a note for $116,000 loan from the bank. Note: Enter debits before credits. Transaction C. General Journal Debit Credit Record entry Clear entry View general journal Santana Rey created Business Solutions on October 1, 2020. The company has been successful, and Santana plans to expand her business. She believes that an additional $116,000 is needed and is investigating three funding sources. a. Santana's sister Cicely is willing to invest $116,000 in the business as a common shareholder. Because Santana currently has about $174,000 invested in the business, Cicely's investment will mean that Santana will maintain about 60% ownership and Cicely will have 40% ownership of Business Solutions. b. Santana's uncle Marcello is willing to invest $116,000 in the business as a preferred shareholder. Marcello would purchase 1,160 shares of $100 par value, 9% preferred stock. c. Santana's banker is willing to lend her $116,000 on a 9%, 10-year note payable. She would make monthly payments of $1,469 for 10 years. Required: 1. Prepare the journal entry to reflect the initial $116,000 investment under each of the options (a), (b), and (c). years. Required: 1. Prepare the journal entry to reflect the initial $116,000 investment under each of the options (a), (b), and (c). View transaction list Journal entry worksheet 1 2 3 Record the issue of common stock of $116,000 cash. Note: Enter debits before credits. Transaction a. General Journal Debit Credit View general journal Record entry Clear entry View transaction list Journal entry worksheet < 1 2 3 Record the issue of preferred stock of $116,000 cash. Note: Enter debits before credits. Transaction b. General Journal Debit Credit Record entry Clear entry View general journal View transaction list Journal entry worksheet < 1 2 3 Record the issue of a note for $116,000 loan from the bank. Note: Enter debits before credits. Transaction C. General Journal Debit Credit Record entry Clear entry View general journal