Question

Multiple Choice Question S.awyer performed legal services for corp. Due to c horage, an agreement was reached whereby E. Corp. would by S. Lawyer alle form od trades on a daily basis and the market price of the stock on the day the wasted is $1.90 per share. Given this information, the best pourraientry for y 15000 000 hores of common stock per 1). The Corp. to record for this transaction is Legal Expense Common Stock Paid in Capital in Excess of Par. Common Legal Expense Common Stock Pardin Capital in Excess of Par Common Common Stock Legal Expense Common Stock Chy t o Shew Work for the show

Answer 1

90) Journal entry

Date	account and explanation	Debit	Credit
	Legal fees	15580
	Common Stock (8200*1)		8200
	Paid in capital in excess of par value-Common Stock		7380

So answer is a)

112) Journal entry

Date	account and explanation	Debit	Credit
	Cash	4320000
	Preferred stock		3600000
	Paid in capital in excess of par value-Preferred stock		720000

So answer is c) Preferred stock $3600000; Paid in capital in excess of par value-Preferred stock $720000

119) Journal entry

Date	account and explanation	Debit	Credit
	Land	715000
	Preferred stock		650000
	Paid in capital in excess of par value-Preferred stock		65000

So answer is d)