Issuing Stock
Work Place Products Inc., a wholesaler of office products, was organized on July 1 of the current year, with an authorization of 125,000 shares of 1% preferred stock, $75 par and 450,000 shares of $20 par common stock. The following selected transactions were completed during the first year of operations:
Journalize the transactions.
July. 1. Issued 115,000 shares of common stock at par for cash.
July. 1 | |||
July. 1 Issued 650 shares of common stock at par to an attorney in payment of legal fees for organizing the corporation.
July. 1 | |||
Aug. 7. Issued 20,000 shares of common stock in exchange for land, buildings, and equipment with fair market prices of $73,000, $398,000, and $89,000, respectively.
For a compound transaction, if an amount box does not require an entry, leave it blank.
Aug. 7 | |||
Sept. 20. Issued 23,000 shares of preferred stock at $86 for cash.
For a compound transaction, if an amount box does not require an entry, leave it blank.
Sept. 20 | |||
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