Question

els sactions, post capital section. GLS PILIA (LO 2,4) DeLong Corporation was organized on January 1, 2020. It is authorized to issue 10,000 shares of 8%, $100 par value preferred stock, and 500,000 shares of no-par common stock with a stated value of $2 per share. The following stock transactions were completed during the first year. Jan. 10 Issued 80,000 shares of common stock for cash at S4 per share. Mar. 1 Issued 5,000 shares of preferred stock for cash at $105 per share. 1 Issued 24.000 shares of common stock for land. The asking price of the land was $90.000 The fair value of the land was $85,000. May 1 Issued 80,000 shares of common stock for cash at $4.50 per share. Apr. 1 Issued

Answer 1

Date	Accounts Title and Explanations	Debit	Credit
10-Jan	Cash (80000 Share *$4)	$320,000.00
	Common stock (80000*$2)		$160,000.00
	Paid in capital in excess of stated value -common stock		$160,000.00
	Record Issuance of Common stock
1-Mar	Cash (5000 shares*105)	$525,000.00
	Preferred stock (5000 shares*$100)		$500,000.00
	Paid in capital in excess of par - Preferred stock		$25,000.00
	Record Issuance of Preferred stock
1-Apr	Land (at fair value)	$85,000.00
	Common stock (24000 shares*$2)		$48,000.00
	Paid in capital in excess of stated value -common stock (BF)		$37,000.00
	Record Issuance of Common stock in lieu of land
1-May	Cash (80000 Share *$4.5)	$360,000.00
	Common stock (80000*$2)		$160,000.00
	Paid in capital in excess of stated value -common stock		$200,000.00
	Record Issuance of Common stock
1-Aug	Organizational expenses	$30,000.00
	Common stock (10000 shares*$2)		$20,000.00
	Paid in capital in excess of stated value -common stock		$10,000.00
	Record Issuance of Common stock in lieu of service
1-Sep	Cash (10000 shares*$5)	$50,000.00
	Common stock (10000 shares*$2)		$20,000.00
	Paid in capital in excess of stated value -common stock		$30,000.00
	Record Issuance of Common stock
1-Nov	Cash (1000 shares*$109)	$109,000.00
	Preferred stock (1000 shares*$100)		$100,000.00
	Paid in capital in excess of par - Preferred stock		$9,000.00
	Record Issuance of Preferred stock

Shareholders equity Account
Common Stock					Paid in Capital Common Stock
Date	Debit	Credit	Balance		Date	Debit	Credit	Balance
10-Jan	-	$160,000.00	$160,000.00		10-Jan		$160,000.00	$160,000.00
1-Apr	-	$48,000.00	$208,000.00		1-Apr		$    37,000.00	$197,000.00
1-May	-	$160,000.00	$368,000.00		1-May		$200,000.00	$397,000.00
1-Aug	-	$20,000.00	$388,000.00		1-Aug		$    10,000.00	$407,000.00
1-Sep	-	$20,000.00	$408,000.00		1-Sep		$    30,000.00	$437,000.00
Preferred Stock					Paid in Capital Preferred Stock
Date	Debit	Credit	Balance		Date	Debit	Credit	Balance
1-Mar		$500,000.00	$500,000.00		1-Mar		$    25,000.00	$    25,000.00
1-Nov		$100,000.00	$600,000.00		1-Nov		$      9,000.00	$    34,000.00

Delong Corporation
Balance sheet (Partial)
31 december, 2017
Paid in capital
Capital stock
Preferred stock		$600,000.00
Common stock		$408,000.00
tal capital stock		$1,008,000.00
Additional paid in capital:
Paid in capital in excess of par value-Preferred shares	$34,000.00
Paid in capital in excess of stated-Common shares	$437,000.00
Total additional paid in capital		$471,000.00
Ttal paid in capital		$1,479,000.00