Question

HOPPING BY E15_1 dem to issued 80000 share for castat per share Har I issued 5000 share to afforney in payment of a bill for $35000 for service rendered in helping the company to incorporate July 1 issuad 30,000 Shares for cash at & epper shans sept, & issuad 6oooo shave for cash at of lo por share @ Journal entries fortansaction, Common stock has peur value of $5 Poor Share @ Journal ostries for trananation, Common stock a to no paur with state value of a 3 par chrome soln

Answer 1

(a)

Date	Account Titles	Debit	Credit
Jan-10	Cash	$     4,00,000		=80000*5
	Common Stock		$         4,00,000
Mar-01	Organization costs	$        35,000
	Common Stock		$            25,000	=5000*5
	Paid in capital in excess of par value - Common Stock		$            10,000	=35000-25000
Jul-01	Cash	$     2,40,000		=30000*8
	Common Stock		$         1,50,000	=30000*5
	Paid in capital in excess of par value - Common Stock		$            90,000	=240000-150000
Sep-01	Cash	$     6,00,000		=60000*10
	Common Stock		$         3,00,000	=60000*5
	Paid in capital in excess of par value - Common Stock		$         3,00,000	=600000-300000

b.

Date	Account Titles	Debit	Credit
Jan-10	Cash	$     2,40,000		=80000*3
	Common Stock		$         2,40,000
Mar-01	Organization costs	$        35,000
	Common Stock		$            15,000	=5000*3
	Paid in capital in excess of stated value - Common Stock		$            20,000	=35000-15000
Jul-01	Cash	$     2,40,000		=30000*8
	Common Stock		$            90,000	=30000*3
	Paid in capital in excess of stated value - Common Stock		$         1,50,000	=240000-90000
Sep-01	Cash	$     6,00,000		=60000*10
	Common Stock		$         1,80,000	=60000*3
	Paid in capital in excess of stated value - Common Stock		$         4,20,000	=600000-180000