Eastport Inc. was organized on June 5, Year 1. It was authorized to issue 380,000 shares of $11 par common stock and 40,000 shares of 4 percent cumulative class A preferred stock. The class A stock had a stated value of $25 per share. The following stock transactions pertain to Eastport Inc.:  Issued 21,000 shares of common stock for $16 per share. Issued 7,000 shares of the class A preferred stock for $30 per share. Issued 59,000 shares of common stock for $19 per share.  Requireda. Prepare general journal entries for these transactions.

Q: Eastport Incorporated was organized on June 5, Year 1. It was authorized to issue 400,000 shares of…

A: b) Stockholders' Equity   Preferred stock (5000*$30) $ 150,000 Common stock…

Q: St. Marie Company is authorized to issue 1,000,000 shares of $5 par value preferred stock, and…

A: The journal entries are prepared to keep the record of day to day transactions of the business on…

Q: Montana Company was authorized to issue 80,000 shares of common stock. The company had issued 27,000…

A: Calculate the number of shares outstanding as follows: Outstanding shares = Issued shares - Treasury…

Q: Eastport Inc. was organized on June 5, Year 1. It was authorized to issue 460,000 shares of $9 par…

A: Introduction: The shareholders' equity section of the balance sheet shows the stockholders' wealth.…

Q: on December 31, 20X1, the Stockholders’ Equity section of Mercedes Corporation was as follows:…

A: The dividend is paid to shareholders from the retained earnings of the business.

Q: Eastport Inc. was organized on June 5, Year 1. It was authorized to issue 380,000 shares of $11 par…

A:

Q: Smart Corp. was organized on Jan. 1 with authorization of 10,000 shares of $5 preferred stock, $100…

A: The entry for preferred stock issued   Date Particular Debit ($) Credit ($) Dec 31 Cash 20,000…

Q: St. Marie Company is authorized to issue 1,000,000 shares of $5 par value preferred stock, and…

A: Introduction: Journals: Recording of a business transactions in a chronological order. Eacha nd…

Q: Spring Company is authorized to issue 500,000 shares of $2 par value common stock. In its fırst…

A: Journal Entries Date Particulars LF Debit ($) Credit ($) March 1 Cash / Bank (40,000 x 9.75)…

Q: Bramble Corporation is authorized to issue both preferred and common stock. The par value of the…

A: Date Account Titles and Explanatiion Debit $ Credit $ Feb. 1 Cash (19500*57) 1111500…

Q: Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock,…

A: Shares refer to the market security that the company issue to raise funds from the market by…

Q: Eastport Inc. was organized on June 5, Year 1. It was authorized to issue 320,000 shares of $10 par…

A: Common shares (Transaction 1)=Number of shares×Par value=20,000×$10=$200,000

Q: St. Marie Company is authorized to issue 1,000,000 shares of $5 par value preferred stock, and…

A: The organization can raise funds for the operation song integrity by issuing common stock, preferred…

Q: Eastport Inc. was organized on June 5, Year 1. It was authorized to issue 470,000 shares of $10 par…

A: Any amount paid in excess of the par value of share goes to Paid-in Capital in excess of Par.

Q: Twin Towns, Inc., was authorized to issue 200,000 shares of common stock and originally issued…

A: Given information is: Twin Towns, Inc., was authorized to issue 200,000 shares of common stock and…

Q: Eastport Inc. was organized on June 5, Year 1. It was authorized to issue 420,000 shares of $11 par…

A: The stockholders' equity section record the total investment and retained earnings that belong to…

Q: Winger Corporation was organized in March. It is authorized to issue 500,000 shares of $100 par…

A: There are three golden rules in accounting for recording the transaction : Debit what comes in ,…

Q: un Corporation received a charter that authorized the issuance of 105,000 shares of $5 par common…

A: Journal entries states the entries which are recorded for the day to day transactions of the company…

Q: Retro Company is authorized to issue 10,000 shares of 8%, $100 par value preferred stock and 500,000…

A: Preferred Stock = No. of shares x Par value per share = 7,000 shares x $100 = $700,000

Q: St. Marie Company is authorized to issue 1,000,000 shares of $5 par value preferred stock, and…

A: Journal entries: Date Account journal Debit $ Credit $ Jan 31 Cash 1,632,000     Common stock…

Q: ingra Corporation was organized in March. It is authorized to issue 600,000 shares of $100 par value…

A: journal entries: Date            particulars Debit Credit Mar 1 Cash [10,000 x $115] $1,150,000…

Q: The entry to record the above transaction would include a a. debit to Cash for $85,000 b. credit to…

A: Common stock: These are the ordinary shares that a corporation issues to the investors in order to…

Q: opper Corporation was organized in May. It is authorized to issue 50,000,000 shares of $100 par…

A: Journal Entries: Journal entries are the building blocks of accounting, which is the act of…

Q: Eastport Inc. was organized on June 5, Year 1. It was authorized to issue 430,000 shares of $9 par…

A: Total face value of Common stock issued = No. of shares issued x Par value per share = (21000+46000)…

Q: On September 10th, Grape Theory issued 25,000 shares of Common Stock for Cash, with a Par Value of…

A: When the shares are issued at a higher price than the face value, Are Issued at Premium.

Q: Eastport Incorporated was organized on June 5, Year 1. It was authorized to issue 420,000 shares of…

A: When shares ( common or preferred ) are issued at more than par value, it results in additional paid…

Q: What is the total amount recorded in the Common Stock account at the end of 20X2?   Select one:…

A: Total Shareholders' Equity  = Common Stock + Retained Earnings

Q: CFAS Corporation was organized on January 1, with an authorization of 1,000,000 ordinary shares with…

A: share premium account is created when there is the difference in the par value or face value of the…

Q: Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock,…

A: Preferred stock dividend = 8000 shares × $5 = $40,000

Q: When Wisconsin Corporation was formed on January 1, the corporate charter provided for 100,000…

A: Common stock: These are the ordinary shares that a corporation issues to the investors in order to…

Q: Eastport Inc. was organized on June 5, 2018. It was authorized to issue 420,000 shares of $9 par…

A:

Q: When Wisconsin Corporation was formed on January 1, the corporate charter provided for 94,200 shares…

A: Common stock:   These are the ordinary shares that a corporation issues to the investors in order to…

Q: Inside Incorporated was issued a charter on January 15 authorizing the following capital stock:…

A: Stockholders' equity refers  to the resources staying in a business once all liabilities have been…

Q: On September 10th, Orange Theory issued 25,000 shares of Common Stock for Cash, with a Par Value of…

A: The organization can raise funds for the operation by issuing common stock, preferred stock for the…

Q: Boron Company is authorized to issue 50,000 shares of $50 par value, 8%, cumulative, fully…

A: Journal entries are the entries to be recorded in the accounting books of the business for all the…

Q: Beaker Corporation was organized on July 1, with an authorization of 50,000 shares of $4 no-par…

A: The question asks for accounting for stockholders' equity in the company's books.  The journal…

Q: The charter of Vista West Corporation specifies that it is authorized to issue 201,000 shares of…

A: Outstanding shares is the number of shares authorized, issued and held by investors.  The shares…

Q: Paydirt Limestone, Incorporated was organized several years ago and was authorized to issue…

A: Date Accounts title and Explanation Debit ($) Credit ($) 1-Mar Treasury stock (2,000 x $2) $4,000…

Q: On January 1, Lorain Corporation had 2,000 shares of $5 par common stock authorized and outstanding.…

A: Treasury stock: Treaseury stock are the shares which are bought back by the company from the open…

Q: On May 1, Foress Corporation incorporated and authorized 211,000 preferred shares and an unlimited…

A: The journal entries are prepared to keep the record of day to day transactions of the business.

Q: OM, Inc. was organized on January 1, 20X5. The firm was authorized to issue 1,000,000 shares of $3…

A: Total no. of common stock issued = 50,000 shares + 30,000 shares…

Q: When Wisconsin Corporation was formed on January 1, the corporate charter provided for 100,000…

A: Common stock: These are the ordinary shares that a corporation issues to the investors in order to…

Q: Eastport Inc. was organized on June 5, Year 1. It was authorized to issue 310,000 shares of $8 par…

A: Stockholders' equity indicates the overall investment balance of the stockholders. It includes…

Q: Moon Corporation received a charter that authorized the issuance of 119,000 shares of $7 par common…

A: The journal entries are prepared to record the day to day transactions of the business.

Q: OM, Inc. was organized on January 1, 20X7. The firm was authorized to issue 1,000,000 shares of $2…

A: The firm authorized to issue 1,000,000 shares, with par value of $2

Q: Witt Corporation received its charter during January of this year. The charter authorized the…

A: 1. Total no. of Common stock issued = 38500+4600 = 43,100 sharesPar value per share = $11 per…

Q: Eastport Inc. was organized on June 5, Year 1. It was authorized to issue 400,000 shares of $12 par…

A: The balance sheet shows the financial position of the company that includes the assets, liabilities,…

Q: Inside Incorporated was issued a charter on January 15 authorizing the following capital stock:…

A: Any excess cash other than the par value received from the issue of shares goes to Paid-in Capital…

Q: Wingra Corporation was organized in March. It is authorized to issue 550,000 shares of $100 par…

A: When shares are issued , amount received in excess of par value will be credited to Paid in Capital…

Q: Copper Corporation was organized in May. It is authorized to issue 50,000,000 shares of $200 par…

A: A firm may issue common stock and preferred stock for raising finance. The excess amount paid over…

Stockholder's Equity

The stockholders’ equity (often referred to as the book value of the company) is the number of assets available to the stockholder after its entire liabilities is paid off. The stockholders’ equity is also sometimes referred to as owner's equity. The stockholders’ equity or book value generally includes common stock, treasury stock retained earnings. It is an indicator of a company's financial strength and is an important item on the company's balance sheet.