Question

In: Accounting

On January 1, 2019, Gage Inc. had 200,000 share $1 par value common stock issued and...

On January 1, 2019, Gage Inc. had 200,000 share $1 par value common stock issued and outstanding.  Prepare the following journal entries in good form:

March 1 - Issued 10,000 shares of common stock at $37 per share.

June 16 - Bought 5,000 shares of common stock at $29 per share.

Oct. 3 - Sold 2,500 shares of treasury stock at $30 per share.

Dec. 17 - Sold 1,000 shares of teasury stock at $26 per share.

Solutions

Expert Solution

Journal Entries:

Date General Journal Debit Credit
Mar-01 Cash $370000
        Common Stock $100000
         Additional paid in Capital $270000
(To record issue of Common Stock )
Date General Journal Debit Credit
Jun-16 Treasury Stock $145,000
             Cash $145,000
( To record the purchase of Treasury stock )
Date General Journal Debit Credit
Oct-03 Cash $75000
           Treasury stock $40,500
             paid in capital from treasury stock $34500
( To record the resale of treasury stock)
Date General Journal Debit Credit
Dec-17 Cash $26000
   paid in capital from treasury stock $3000
             Treasury stock $29000
( To record the resale of treasury stock)

ekkarill92 answered 2 years ago
Next > < Previous

Related Solutions

On January 1, 2019, Jonathan Corporation had 75,000 shares of $1 par value common stock issued...
On January 1, 2019, Jonathan Corporation had 75,000 shares of $1 par value common stock issued and outstanding. During the year, the following transactions occurred: Mar 1: Issued 30,000 shares, not previously issued of common stock for $575,000 June 1: Declared a cash dividend of $1.00 per share to stockholders of record on June 15 June 30: Paid the $1.00 cash dividend July 1: Declared and issued a 10% stock dividend Dec 1: Purchased 5,000 shares of common stock for...
On January 1, 2019, Jonathan Corporation had 75,000 shares of $1 par value common stock issued...
On January 1, 2019, Jonathan Corporation had 75,000 shares of $1 par value common stock issued and outstanding. During the year, the following transactions occurred: Mar 1: Issued 30,000 shares, not previously issued of common stock for $575,000 June 1: Declared a cash dividend of $1.00 per share to stockholders of record on June 15 June 30: Paid the $1.00 cash dividend July 1: Declared and issued a 10% stock dividend Dec 1: Purchased 5,000 shares of common stock for...
On January 1 Windsor, Inc. had 74,000 shares of no-par common stock issued and outstanding. The...
On January 1 Windsor, Inc. had 74,000 shares of no-par common stock issued and outstanding. The stock has a stated value of $5 per share. During the year, the following transactions occurred: Apr. 1 Issued 11,000 additional shares of common stock for $10 per share. June 15 Declared a cash dividend of $1.00 per share to stockholders of record on June 30. July 10 Paid the $1.00 cash dividend. Dec. 1 Issued 6,000 additional shares of common stock for $14...
On January 1 Weiss Corporation had 75,000 shares of $0.5 par value common stock issued and...
On January 1 Weiss Corporation had 75,000 shares of $0.5 par value common stock issued and outstanding. During the year, the following transactions occurred. Apr. 1 Issued 8,000 additional shares of common stock for $11 per share. June 15 Declared a cash dividend of $1.50 per share to stockholders of record on June 30. July 10 Paid the $1.50 cash dividend. Dec. 1 Issued 4,000 additional shares of common stock for $12 per share. Dec. 15 Declared a cash dividend...
On December​ 1, 2017,​ Arthur, Inc. had​ 40,000 shares of​ $10 par value common stock issued...
On December​ 1, 2017,​ Arthur, Inc. had​ 40,000 shares of​ $10 par value common stock issued and outstanding. The next day it declared a​ 50% stock dividend. The market value of the stock on that date was​ $9 per share. Which of the following is the correct journal entry to record this​ transaction? A.debit Stock Dividends​ $200,000 and credit Common Stock Dividend Distributable​ $200,000 B.debit Common Stock​ $200,000 and credit Cash​ $200,000 C.debit Stock Dividends​ $360,000 and credit Cash​ $360,000...
On 1 January 2019, Colson Company had 200,000 ordinary shares outstanding with par value of $l...
On 1 January 2019, Colson Company had 200,000 ordinary shares outstanding with par value of $l each that originally issued at $18 per share. On 1 April 2019, 20,000 ordinary shares were issued at $25 per share and on 1 May, the company issued 5% bonus issue as stock dividend for both ordinary shares and preference shares. During the year, 30,000 treasury shares were repurchased from the open market at $35 on 1 September 2019. On 1 March 2019, the...
Todd Inc. issued 2,000 shares of $15 par value common stock at $18 per share for...
Todd Inc. issued 2,000 shares of $15 par value common stock at $18 per share for cash. A) What Account/s and Amounts would you DEBIT, B) What Account/s and Amounts would you CREDIT. You must answer A) and B) correctly to receive full credit for this question.
On January 1, Novak Corp. had 99,000 shares of no-par common stock issued and outstanding. The...
On January 1, Novak Corp. had 99,000 shares of no-par common stock issued and outstanding. The stock has a stated value of $4 per share. During the year, the following occurred. Apr. 1 Issued 25,500 additional shares of common stock for $17 per share. June 15 Declared a cash dividend of $1 per share to stockholders of record on June 30. July 10 Paid the $1 cash dividend. Dec. 1 Issued 3,000 additional shares of common stock for $19 per...
On January 1, 2019, Garner issued 10-year, $200,000 face value, 6% bonds at par. Each $1,000...
On January 1, 2019, Garner issued 10-year, $200,000 face value, 6% bonds at par. Each $1,000 bond is convertible into 30 shares of Garner $2 par value common stock. The company has had 10,000 shares of common stock (and no preferred stock) outstanding throughout its life. None of the bonds have been converted as of the end of 2020. (Ignore all tax effects.) Requirement 1: Accounting Prepare the journal entry Garner would have made on January 1, 2019, to record...
On January 1, Blue Spruce Corp. had 63,300 shares of no-par common stock issued and outstanding....
On January 1, Blue Spruce Corp. had 63,300 shares of no-par common stock issued and outstanding. The stock has a stated value of $4 per share. During the year, the following transactions occurred. Apr. 1 Issued 19,800 additional shares of common stock for $13 per share. June 15 Declared a cash dividend of $1.65 per share to stockholders of record on June 30. July 10 Paid the $1.65 cash dividend. Dec. 1 Issued 8,800 additional shares of common stock for...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT