Question

QS 13-5 Issuance of common stock LO P1 Prepare the issuer's journal entry for each of the following separate transactions. a. On March 1, Atlantic Co. issues 45,500 shares of $4 par value common stock for $306,500 cash. b. On April 1, OP Co. issues no-par value common stock for $76,000 cash. c. On April 6, MPG issues 2,600 shares of $20 par value common stock for $45,000 of inventory, $165,000 of machinery, and acceptance of a $95,000 note payable. View transaction list Journal entry worksheet < 1 2 3 Record the issuance of 45,500 shares of $4 par value common stock for $306,500 cash. Note: Enter debits before credits. Transaction General Journal Debit Credit

Answer 1

All calculation are clearly show in workings

No Credit Debit $ 3,06,500 a. $1,82,000 45500*4 $1,24,500 306500-124500 | $ 76,000 Accounts Title Cash Common Stock, $ 4 par value Contributed Capital in Excess of par value, Common Stock Cash Common Stock- no par value Inventory Machinery Common Stock, $ 20 par value Contributed Capital in Excess of par value, Common Stock Notes payable $ 76,000 $ $ 45,000 1,65,000 $ 52,000 20*2600 $ 63,000 45000+165000-95000-52000 $ 95,000