Problem 11 Problem 20-11 (AICPA Adapted)At the beginning of current year, Ashe Company wasorganised with authorized abare capital of 100,000 shares ofP200 par valueDuring the current year, the entity had the followingtransactions affecting shareholders equity:JanuaryMarch10 Issued 25,000 shares at P220 a share25 Issued 1,000 ahares for legal services whenthe fair value was P240 a share.September 30 Issued 5,000 shares for a tract of land whenthe fair value was P260 a shareWhat amount ahould be reported as share premium atyear-end?a. 840.000b. 800,000S 540,000d. 600,000

A company's balance sheet usually includes a share premium account. This account is credited for…

Problem 20-11 (AICPA Adapted) At the beginning of carrent year, Aahe CompAny was organied with authorined share cspital of 100,000 shares of P200 par value During the eurrent year, the eatity had the following transactions affecting sharebolder equity January 1o lssed 25.000 ahares at P220 a share March 25 Issued 1,000 shares for legal services when the fair value was P240 share. September 30 lasued 000 shares for a tract of land when the fair value was P260 a share What amount should be reported as share premium at year-end? A M0.000 A800,000 e 40.000 d. 500,000

Problem 20-11 (AICPA Adapted) At the beginning of carrent year, Aahe CompAny was organied with authorined share cspital of 100,000 shares of P200 par value During the eurrent year, the eatity had the following transactions affecting sharebolder equity January 1o lssed 25.000 ahares at P220 a share March 25 Issued 1,000 shares for legal services when the fair value was P240 share. September 30 lasued 000 shares for a tract of land when the fair value was P260 a share What amount should be reported as share premium at year-end? A M0.000 A800,000 e 40.000 d. 500,000

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter15: Contributed Capital

Section: Chapter Questions

Problem 2MC: Cary Corporation has 50,000 shares of 10 par common stock authorized. The following transactions...

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Contributed Capital Adams Companys records provide the following information on December 31, 2019: Additional information: 1. Common stock has a 5 par value, 50,000 shares are authorized, 15,000 shares have been issued and are outstanding. 2. Preferred stock has a 100 par value, 3,000 shares are authorized, 800 shares have been issued and are outstanding. Two hundred shares have been subscribed at 120 per share. The stock pays an 8% dividend, is cumulative, and is callable at 130 per share. 3. Bonds payable mature on January 1, 2023. They carry a 12% annual interest rate, payable semiannually. Required: Prepare the Contributed Capital section of the December 31, 2019, balance sheet for Adams. Include appropriate parenthetical notes.
Copper Corporation was organized in May. It is authorized to issue 50,000,000 shares of $200 par value 7% preferred stock. It is also authorized to issue 75,000,000 shares of $5 par value common stock. In its first year, the corporation has the following transactions: Journalize the transactions.
MacKenzie Mining Corporation is authorized to issue 50,000 shares of $500 par value 7% preferred stock. It is also authorized to issue 5,000,000 shares of $3 par value common stock. In its first year, the corporation has the following transactions: Journalize the transactions.
Effective May 1, the shareholders of Baltimore Corporation approved a 2-for-1 split of the companys common stock and an increase in authorized common shares from 100,000 shares (par value 20 per share) to 200,000 shares (par value 10 per share). Baltimores shareholders equity items immediately before issuance of the stock split shares were as follows: What should be the balances in Baltimores Additional Paid-in Capital and Retained Earnings accounts immediately after the stock split is effected?
Kent Corporation was organized on January 1, 2014. On that date, it issued 200,000 shares of 10 par value common stock at 15 per share (400,000 shares were authorized). During the period January 1, 2014, through December 31, 2019, Kent reported net income of 750,000 and paid cash dividends of 380,000. On January 5, 2019, Kent purchased 12,000 shares of its common stock at 12 per share. On December 28, 2019, 8,000 treasury shares were sold at 8 per share. Kent used the cost method of accounting for treasury shares. What is Kents total shareholders equity as of December 31, 2019? a. 3,290,000 b. 3,306,000 c. 3,338,000 d. 3,370,000
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A corporation issues 5,000 shares of $1 par value stock for some equipment with a clearly determined value of $10,000. Prepare the journal entry to reflect this transaction.