Question

On January 2,2016, Alpha Corporation issued 2,500 shares of $5 par value common stock. The issue price was $15 per share. On January 15, Alpha Corporation issued 1,000 shares of its $100 par 5% cumulative preferred stock for $105 per share. Use this information to prepare the General Journal entry (without explanation) for the January 2 and January 15 entries. Format General Journal: Debit Credit Date Accounts

Answer 1

Date	Accounts	Debit	Credit
January 2	Cash	$37,500
	Common Stock		$12,500
	Paid-in Capital in Excess of Par - Common Stock		$25,000
January 15	Cash	$105,000
	Preferred Stock		$100,000
	Paid-in Capital in Excess of Par - Preferred Stock		$5,000