A company has two classes of stock authorized: 9%, $10 par preferred, and $1 par value common. The following transactions affect stockholders’ equity during Year 1, its first year of operations: January 2 Issues 100,000 shares of common stock for $19 per share.February 6 Issues 1,400 shares of 9% preferred stock for $11 per share.September 10 Purchases 11,000 shares of its own common stock for $24 per share.December 15 Resells 5,500 shares of treasury stock at $29 per share.Required:Record each of these transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) 1-Record the issuance of 100,000 shares of common stock for $19 per share.2-Record the issuance of 1,400 shares of 9% preferred stock for $11 per share.3-Record the purchase of 11,000 shares of its own common stock for $24 per share.4-Record the resale of 5,500 shares.

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College Accounting, Chapters 1-27 (New in Accounting from Heintz and Parry)

22nd Edition

ISBN:9781305666160

Author:James A. Heintz, Robert W. Parry

Publisher:James A. Heintz, Robert W. Parry

Chapter20: Corporations: Organization And Capital Stock

Section: Chapter Questions

Problem 1MP: Stockholders equity accounts and other related accounts of Gonzales Company as of January 1, 20--,...

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A company has two classes of stock authorized: 9%, $10 par preferred, and $1 par value common. The following transactions affect stockholders’ equity during Year 1, its first year of operations:

January	2	Issues 100,000 shares of common stock for $19 per share.
February	6	Issues 1,400 shares of 9% preferred stock for $11 per share.
September	10	Purchases 11,000 shares of its own common stock for $24 per share.
December	15	Resells 5,500 shares of treasury stock at $29 per share.

Required:
Record each of these transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)

1-Record the issuance of 100,000 shares of common stock for $19 per share.

2-Record the issuance of 1,400 shares of 9% preferred stock for $11 per share.

3-Record the purchase of 11,000 shares of its own common stock for $24 per share.

4-Record the resale of 5,500 shares.

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