Question

*Exercise 15-02 Your answer is partially correct. Try again. Cheyenne Corporation was organized on January 1, 2020. It is authorized to issue 9,700 shares of 8%, $100 par value preferred stock, and 540,200 shares of no-par common stock with a stated value of $1 per share. The following stock transactions were completed during the first year. Jan. Issued 80,290 shares of common stock for cash at 56 per share. 10 Mar. 1 Issued 5,190 shares of preferred stock for cash at $111 per share. Apr. 1 Issued 24,970 shares of common stock for land. The asking price of the land was $91,640; the fair value of the land was $80,290. May 1 Issued 80,290 shares of common stock for cash at 59 per share. Aug. 1 Issued 9,700 shares of common stock to attorneys in payment of their bill of 549,100 for services rendered in helping the company organize. Sept. 1 Issued 9,700 shares of common stock for cash at $11 per share. Nov. 1 Issued 1,060 shares of preferred stock for cash at $107 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 Jan. 10 Cash T4817401 부 Common Stock 1481740 No Entry TO Mar. 1 Cash 1576090 Preferred Stock 1576090 No Entry TApr. 1 "Land 180290 Common Stock 180290 TNo Entry May 1 Cash 1722610 Common Stock 1722610 No Entry 10 TO TAug. 1 Legal Fees Expense 149100 Common Stock 1149100 TINO Entry Sept. 1 Cash 106700 Common Stock 105700 INo Entry TINov. 1 Cash 113420 Preferred Stock 11113420 No Entry

Answer 1

JOURNAL ENTRY
Date	Particulars	Debit	Credit
10-Jan	Cash A/C                                                                                              Dr.	$481,740
	To Common Stock A/C		$80,290
	To Paid-in Capital A/C		$401,450
	(Issued Common Stock for cash)
1-Mar	Cash A/C                                                                                             Dr.	$576,090
	To Preferred Stock A/C		$519,000
	To Paid-in Capital A/C		$57,090
	(Issued Preferred Stock for Cash)
1-Apr	Land A/C                                                                                             Dr.	$91,640
	To Common Stock A/C		$24,970
	To Paid-in Capital A/C		$66,670
	(Issued 24,970 common stock for land)
1-May	Cash A/C                                                                                            Dr.	$722,610
	To Common Stock A/C		$80,290
	To Paid-in Capital A/C		$642,320
	(Issued 80,290 Common Stock for cash)
1-Aug	Organisation Cost A/C                                                              Dr.	$49,100
	To Common Stock A/C		$9,700
	To Pid-in Capital A/C		$39,400
	(Issued 9,700 common shares against the payment to attorney)
1-Sep	Cash A/C                                                                                          Dr.	$106,700
	To Common Stock A/C		$9,700
	To Paid-in Capital A/C		$97,000
	(Issued 9,700 Common Stock for cash)
1-Nov	Cash A/C                                                                                          Dr.	$113,420
	To Preferred Stock A/C		$106,000
	To Paid-in Capital A/C		$7,420
	(Issued Prederred Stock 1,060 for cash)