Question

Pipe Pig Inc. issued 500 shares of $12 par value common stock and 200 shares of...

Pipe Pig Inc. issued 500 shares of $12 par value common stock and 200 shares of $50 par value preferred stock for a lump-sum of $20,000. The common stock has a market price of $20 per share and the preferred stock has a market price of $70 per share.

Instructions

Record the issuance of both shares of stock.

Computations:

Journal Entry:

Date

Account Title

Debit

Credit

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Sage Corporation issued 337 shares of $10 par value common stock and 131 shares of $50...
Sage Corporation issued 337 shares of $10 par value common stock and 131 shares of $50 par value preferred stock for a lump sum of $17,856. The common stock has a market price of $20 per share, and the preferred stock has a market price of $100 per share. Prepare the journal entry to record the issuance.
Cheyenne Corporation issued 356 shares of $10 par value common stock and 148 shares of $50...
Cheyenne Corporation issued 356 shares of $10 par value common stock and 148 shares of $50 par value preferred stock for a lump sum of $19,728. The common stock has a market price of $20 per share, and the preferred stock has a market price of $100 per share. Prepare the journal entry to record the issuance.
Monty Inc. issues 500 shares of $10 par value common stock and 100 shares of $100...
Monty Inc. issues 500 shares of $10 par value common stock and 100 shares of $100 par value preferred stock for a lump sum of $103,000. (a) Prepare the journal entry for the issuance when the market price of the common shares is $164 each and market price of the preferred is $205 each. (b) Prepare the journal entry for the issuance when only the market price of the common stock is known and it is $176 per share. No....
Parker Corporation has issued 2,000 shares of common stock and 400 shares of preferred stock for...
Parker Corporation has issued 2,000 shares of common stock and 400 shares of preferred stock for a lump sum of $74,000 cash. Instructions Give the entry for the issuance assuming the par value of the common stock was $5 and the fair value $30, and the par value of the preferred stock was $40 and the fair value $50. (Each valuation is on a per share basis and there are ready markets for each stock.) (b) Give the entry for...
The Daily Bugle has issued 3,000 shares of common stock and 1,500 shares of preferred stock...
The Daily Bugle has issued 3,000 shares of common stock and 1,500 shares of preferred stock for a lump sum of $180,000 cash. Instructions (show all of your work) (a) Give the entry for the issuance assuming the par value of the common stock was $10 and the fair value $25, and the par value of the preferred stock was $25 and the fair value $100. (Each valuation is on a per share basis and there are ready markets for...
Exercise 15-5 Bramble Inc. issues 500 shares of $10 par value common stock and 100 shares...
Exercise 15-5 Bramble Inc. issues 500 shares of $10 par value common stock and 100 shares of $100 par value preferred stock for a lump sum of $116,000 . (a) Prepare the journal entry for the issuance when the market price of the common shares is $164 each and market price of the preferred is $205 each. (b) Prepare the journal entry for the issuance when only the market price of the common stock is known and it is $202...
(Lump-Sum Sales of Stock with Preferred Stock) Black Diamond Inc. issues 2,500 shares of $1 par...
(Lump-Sum Sales of Stock with Preferred Stock) Black Diamond Inc. issues 2,500 shares of $1 par value common stock and 1,000 shares of $50 par value preferred stock for a lump sum of $275,000. Instructions: a) Prepare the journal entry for the issueance when the market value of the common shares is $95 each and market value of the preferred is $60 each. b) Prepare the journal entry for the issuance when only the market value of the common stock...
Brief Exercise 15-4 Wildhorse Corporation issued 311 shares of $10 par value common stock and 112...
Brief Exercise 15-4 Wildhorse Corporation issued 311 shares of $10 par value common stock and 112 shares of $50 par value preferred stock for a lump sum of $15,678. The common stock has a market price of $20 per share, and the preferred stock has a market price of $100 per share. Prepare the journal entry to record the issuance. (Round intermediate calculations to 6 decimal places, e.g. 0.546872 and final answers to 0 decimal places, e.g., 1,520. Credit account...
Lumpsum sale of common stock with preferred stock FINCO Corporation issued 600 shares of $10 par...
Lumpsum sale of common stock with preferred stock FINCO Corporation issued 600 shares of $10 par value common stock and 200 shares of $50 par value preferred stock for a lump sum of $27,000. Common stock has a market value of $20 per share, and preferred stock has a market value of $90 per share. Required: (a) Proportional method - Calculate the FMV of the common stocks and the preferred stocks and record the journal entry to record the sale....
Cheetah Corporation’s charter authorized issuance of 500,000 shares of $1 par value common stock and 250,000...
Cheetah Corporation’s charter authorized issuance of 500,000 shares of $1 par value common stock and 250,000 shares of $100 preferred stock. The following transactions involving the issuance of shares of stock were completed. Each transaction is independent of the others. 1. Issued a $100,000 8% bond payable at par and gave as a bonus ten shares of preferred stock, which at that time was selling for $102 a share. 2. Issued 7,500 shares of common stock for land. The land...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT