Suliman Corporation is authorized to issue both preferred and common stock.The par value of the preferred is $50. During the first year of operations, the company had the following events and transactions pertaining to its preferred stock.Feb. 1 Issued 12,000 shares for cash at $53 per share.July 1 Issued 23,000 shares for cash at $57 per share.Instructions(a) Journalize the transactions.(b)
Chapter 11, Exercises #10
Suliman Corporation is authorized to issue both preferred and common stock.
The par value of the preferred is $50. During the first year of operations, the company had the following events and transactions pertaining to its preferred stock.
Feb. 1 Issued 12,000 shares for cash at $53 per share.
July 1 Issued 23,000 shares for cash at $57 per share.
Instructions
(a) Journalize the transactions.
(b) Post to the stockholders' equity accounts.
(c) Indicate the financial statement presentation of the related accounts.
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...
The par value of the preferred is $50. During the first year of operations, the company had the following events and transactions pertaining to its preferred stock.
Feb. 1 Issued 12,000 shares for cash at $53 per share.
July 1 Issued 23,000 shares for cash at $57 per share.
Instructions
(a) Journalize the transactions.
(b) Post to the stockholders' equity accounts.
(c) Indicate the financial statement presentation of the related accounts.
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...
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Answer
(a) Feb. 1 Cash (12,000 X $53) ................................. 636,000 Preferred Stock (12,000…View the full answer
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Financial and managerial accounting
1st edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
ISBN: 978-1118016114