1. Tiger Co. issues 10,000 shares of $4 par common stock which is trading for $30...

1. Tiger Co. issues 10,000 shares of $4 par common stock which is trading for $30 a share. It also issues 2,000 shares of $6 par preferred stock which is trading for $52 a share make either two separate or one combined journal entry.

2. King Co. issues 8,000 shares of $2 stated common stock which is trading for $20 a share. It also issues 1,000 shares of $1 stated preferred stock which is trading for $33 a share make either two separate or one combined journal entry

3. Baskings Co. issues 2,000 shares of common stock trading for $10 a share and 4,000 shares of preferred stock trading for $18 a share make either two separate or one combined journal entry

Solutions

Expert Solution

Part-1: Tiger Co.
S. No.	Account Tittle	Debit	Credit
1	Cash (10000*30)	$300,000.00
	Common Stock		$40,000.00
	Paid in capital in Excess of Par - Common Stock		$260,000.00

	Cash (2000*52)	$104,000.00
	Preferred Stock		$12,000.00
	Paid in capital in Excess of Par - Preferred Stock		$92,000.00


Part-2: King Co.
S. No.	Account Tittle	Debit	Credit
1	Cash (8000*20)	$160,000.00
	Common Stock		$16,000.00
	Paid in capital in Excess of stated Value - Common Stock		$144,000.00

	Cash (1000*33)	$33,000.00
	Preferred Stock		$1,000.00
	Paid in capital in Excess of stated Value - Preferred Stock		$32,000.00


Part-3: Basking Co.
S. No.	Account Tittle	Debit	Credit
1	Cash (2000*10)	$20,000.00
	Common Stock		$20,000.00


	Cash (4000*18)	$72,000.00
	Preferred Stock		$72,000.00

ekkarill92 answered 1 year ago

Next > < Previous

Related Solutions

Journalize these transactions: Antex Co. issues 80,000 shares of common stock (par of $2) to acquire...

Journalize these transactions: Antex Co. issues 80,000 shares of common stock (par of $2) to acquire a patent. An independent appraiser determines that the value of patent is $320,000. The patent has a legal life 15yrs remaining and the co. assigns it a useful life of 10yrs, no residual value. After 2 years, an unexpected technological development leads to the determination of a recoverable amount of the patent of $198,000

A company with 50,000 authorized shares of $1 par common stock issued 10,000 shares at $10...

A company with 50,000 authorized shares of $1 par common stock issued 10,000 shares at $10 per share, Subsequently, the company declared and paid a $3 cash dividend per share. On the date the company declared the dividend, the market price of the shares was $30 per share. What is the effect of the dividend on Retained Earnings? Retained earnings decreased Retained earnings increased Retained earnings remained the same None of the above. Refer to the previous question. By what...

issues 100,000 shares of $1 par common stock for $50 per share

Fox Co. bought 1,000 shares of Owl Co. common stock, after which Owl had 10,000 shares...

Fox Co. bought 1,000 shares of Owl Co. common stock, after which Owl had 10,000 shares authorized, 9,000 shares issued, and 8,000 shares outstanding. Fox expects to hold this stock for at least 9 months. When could Fox report a gain on its income statement? When Owl reports net income When Fox sells Owl common stock When Owl declares common stock dividends When the market price of Owl common stock increases

Starting a Company (1) Issues 50,000 shares of $10 par value common stock at par value...

Starting a Company (1) Issues 50,000 shares of $10 par value common stock at par value for cash. (2) Acquires land and building costing $225,000 with the payment of $50,000 cash and the assumption of a 20-year, 8-percent mortgage for the balance. (3) Purchases a used crane for $13,200 cash (4) Acquires raw materials costing $8,600 on account. (5) Returns defective raw materials purchased in (4) and costing $900 to the supplier. The account has not yet been paid. (6)...

The Tiffany company repurchases 10,000 shares of it's own $10 par common stock for $30/share. Assuming...

The Tiffany company repurchases 10,000 shares of it's own $10 par common stock for $30/share. Assuming the stock originally sold for $25/share and there have been no previous treasury stock transactions, record the following journal transactions. - Jan. 9 Purchased 10,000 shares of Treasury stock for $30/share. (use cost method) - April 3 Sold 4,000 shares of Treasury stock for $40/share. - April 23 Sold 4,000 shares of Treasury stock for $28/share - June 25 Retired 1,000 shares of Treasury...

On July 1, TruData Company issues 13,400 shares of its common stock with a $5 par...

On July 1, TruData Company issues 13,400 shares of its common stock with a $5 par value and a $35 fair value in exchange for all of Webstat Company’s outstanding voting shares. Webstat’s precombination book and fair values are shown below along with book values for TruData’s accounts. TruData Webstat Webstat Book Values Book Values Fair Values Revenues (1/1 to 7/1) $ (292,600 ) $ (140,000 ) Expenses (1/1 to 7/1) 180,000 86,000 Retained earnings, 1/1 (118,000 ) (168,000 )...

1.) Winnie the Pooh Inc. issues 5,000 shares of $2 par common stock for $75 a...

1.) Winnie the Pooh Inc. issues 5,000 shares of $2 par common stock for $75 a share and 10,000 shares of $6 par preferred stock for $88 dollars per share. Journalize the issuance of these stocks: 2.) Winnie the Pooh Inc. the most generous of the companies declares a $200,000 cash dividend on April 1st, 2020. The company has 10,000 shares of $5 par common stock with a market value of $25 per share and 20,000 shares of $10 par...

Balm Co. had 10,000 shares of common stock outstanding as of January 1. The following events...

Balm Co. had 10,000 shares of common stock outstanding as of January 1. The following events occurred during the year: 4/1 Issued 3,000 shares of common stock. 7/1 Distributes 20% stock dividend 10/1 Purchases 4000 shares of stock for treasury 12/1 declares and distributes a 3 to 1 stock split. What is the weighted average number of shares to be used for computing Earnings Per Share?

If a corporation issues 5,000 shares of $5 par value common stock for $ 90,000, the...

If a corporation issues 5,000 shares of $5 par value common stock for $ 90,000, the journal entry would include a credit to: A.Common Stock for $ 90,000. B.Common Stock for $ 65,000. C.Paidminusin Capital in Excess of Parlong dashCommon for $ 90,000. D.Paidminusin Capital in Excess of Parlong dashCommon for $ 65,000. If a corporation issues 2,000 shares of $1 par value common stock for $ 10,000, the journal entry would include a credit to: A.Common Stock for $...

Subjects