Question

Halpern Corporation is authorized to issue 1,000,000 shares of $3 par value common stock. During 2015, its first year of operation, the company has the following stock transactions.

Jan.     1     Paid the state $5,000 for incorporation fees.

Jan.     15        Issued 500,000 shares of stock at $6 per share.

Jan.     30        Attorneys for the company accepted 500 shares of common stock as payment for legal services rendered in helping the company incorporate. The legal services are estimated to have a value of $7,000.

July      2          Issued 100,000 shares of stock for land. The land had an asking price of $900,000. The stock is currently selling on a national exchange at $8 per share.

Sept.    5          Purchased 15,000 shares of common stock for the treasury at $8 per share.

Dec.     6          Sold 11,000 shares of the treasury stock at $11 per share.

Instructions

Indicate the accounts that are increased and/or decreased in the above transactions for Halpern Corporation.

Answer 1

ANSWER:-

Indicate the accounts that are increased and/or decreased in the above transactions for Halpern Corporation.

Date	Accounts	Increased/Decreased
Jan-1	Incorporation Fees A/C	Increased
	Cash A/C	Decreased
Jan-15	Cash A/C	Increased
	Common Stock A/C	Increased
	Paid-In Capital in Excess of Par -Common Stock A/C	Increased
Jan-30	Organization Expense A/C	Increased
	Common Stock A/C	Increased
	Paid-In Capital in Excess of Par -Common Stock A/C	Increased
Jul-2	Land A/C	Increased
	Common Stock A/C	Increased
	Paid-In Capital in Excess of Par -Common Stock A/C	Increased
Sep-5	Treasury Stock A/C	Increased
	Cash A/C	Decreased
Dec-6	Cash A/C	Increased
	Treasury Stock A/C	Decreased
	Paid-In Capital from Treasury Stock A/C	Increased