Question

Manty Carparation was organized on January 1, 2017. It is authorized to issue 9,500 shares of 99, $100 par value preferred stock, and 523,200 shares of no-par common stock with a stated value of $1 per share. The following stock transactions were completed during the first year. an issued 60,270 shares of common stock for cash at $7 per share. Mar. sued 5,750 shares of preferred stock for cash at $111 per share. Apr. issued 24,580 shares of common stock for land. The asking price of the land was $91,860; the fair value of the land was $80,270 May Issued 80.270 shares of common stock for cash at $9 per share. muy. Issued 9.500 shares of common stack to attorneys in payment of their bill of $51,700 for services rendered in helping the company organize. Scat. issued 1,500 shares of common stock for cash at $11 per share. Nov. Issued 920 shares of preferred stock for cash at $106 per share. Prepare the journal entries to record the above transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit Credit

Answer 1

Debit Credit 561890 Date Account Titles and Explanation 10-Jan Cash (80270*7) Common stock (80270*1) Common stock-in excess of par (80270*6) (To record the issuance of common stock) 80270 481620 638250 1-Mar Cash (5750*111) Preferred stock (5750*100) Preferred stock-in excess of par (5750*11) (To record the issuance of preferred stock) 575000 63250 91860 1-Apr Land Common stock (24580*1) Common stock-in excess of par (To record the issuance of common stock for land) 24580 67280 11590 11590 Fair value adjustment (91860-80270) Land (To record the adjutment relating to fair value of land) 722430 1-May Cash (80270*9) Common stock (80270*1) Common stock-in excess of par (80270*8) (To record the issuance of common stock) 80270 642160

51700 1-Aug Bills payable Common stock 9500*1) Common stock-in excess of par To record the issuance of common stock for payables) 9500 422001 104500 1-Sep Cash (9500*11) Common stock (9500*1) Common stock-in excess of par (9500*10) (To record the issuance of common stock) 9500 95000 97520 1-Nov Cash (920*106) Preferred stock (920*100) Preferred stock-in excess of par (920*6) (To record the issuance of preferred stock) 92000 5520