Question

Question 2

Entries for Issuing Stock On January 22, Limerick Corporation issued for cash 21,000 shares of no-par common stock at $15. On February 14, Limerick issued at par value 3,000 shares of preferred 4% stock, $50 par for cash. On August 30, Limerick issued for cash 28,000 shares of preferred 4% stock, $50 par at $54. Journalize the entries to record the January 22, February 14, and August 30 transactions. If an amount box does not require an entry, leave it blank. Jan. 22 Cash ✓ Common Stock Feb. 14 Cash v Preferred Stock III II 001 Cash Aug. 30 Preferred Stock Paid-In Capital in Excess of Par-Preferred Stock

Answer 1

Date	Accounts	Debit	Credit
Jan 22	cash (21000*15)	315000
	Common stock		315000
Feb 14	cash (3000*50)	150000
	Preferred stock		150000
Aug 30	cash (28000*54)	1512000
	Preferred stock (28000*50)		1400000
	Paid in capital excess of par preferred stock		112000