Professional Products Inc., a wholesaler of office products, was organized on February 5 of the current year, with an authorization of 50,000 shares of preferred 3% stock, $55 par and 300,000 shares of $10 par common stock. The following selected transactions were completed during the first year of operations: Journalize the transactions. If an amount box does not require an entry, leave it blank. Feb. 5. Issued 110,000 shares of common stock at par for cash. Feb. 5. Cash fill in the blank 3ce08302705100a_2 fill in the blank 3ce08302705100a_3 Common Stock fill in the blank 3ce08302705100a_5 fill in the blank 3ce08302705100a_6 Feedback What is the company receiving and at what price is the stock being issued? Feb. 5. Issued 350 shares of common stock at par to an attorney in payment of legal fees for organizing the corporation. Feb. 5. Organizational Expenses fill in the blank ac4e2f09107d03f_2 fill in the blank ac4e2f09107d03f_3 Common Stock fill in the blank ac4e2f09107d03f_5 fill in the blank ac4e2f09107d03f_6 Feedback Recall that stock may be issued for reasons other than to receive cash. What are these shares paying for? Apr. 9. Issued 15,500 shares of common stock in exchange for land, buildings, and equipment with fair market prices of $28,000, $154,000, and $35,000, respectively. Apr. 9. Land fill in the blank c82b6dfbe076030_2 fill in the blank c82b6dfbe076030_3 Buildings fill in the blank c82b6dfbe076030_5 fill in the blank c82b6dfbe076030_6 Equipment fill in the blank c82b6dfbe076030_8 fill in the blank c82b6dfbe076030_9 Common Stock fill in the blank c82b6dfbe076030_11 fill in the blank c82b6dfbe076030_12 Paid-In Capital in Excess of Par-Common Stock fill in the blank c82b6dfbe076030_14 fill in the blank c82b6dfbe076030_15 Feedback Record the assets, and increase the common stock account by the par value of the shares. Record any amount above par in a separate paid-in capital equity account. Recall that shares of stock can be issued to acquire assets. At what value must the preferred stock and common stock accounts be recorded? June 14. Issued 15,000 shares of preferred stock at $67 for cash. June 14. Cash fill in the blank a6c2f3fc0fb6fea_2 fill in the blank a6c2f3fc0fb6fea_3 Preferred Stock fill in the blank a6c2f3fc0fb6fea_5 fill in the blank a6c2f3fc0fb6fea_6 Paid-In Capital in Excess of Par-Preferred Stock fill in the blank a6c2f3fc0fb6fea_8 fill in the blank a6c2f3fc0fb6fea_9
Issuing Stock
Professional Products Inc., a wholesaler of office products, was organized on February 5 of the current year, with an authorization of 50,000 shares of preferred 3% stock, $55 par and 300,000 shares of $10 par common stock. The following selected transactions were completed during the first year of operations:
Journalize the transactions.
If an amount box does not require an entry, leave it blank.
Feb. 5. Issued 110,000 shares of common stock at par for cash.
Feb. 5. | Cash | fill in the blank 3ce08302705100a_2 | fill in the blank 3ce08302705100a_3 |
Common Stock | fill in the blank 3ce08302705100a_5 | fill in the blank 3ce08302705100a_6 |
What is the company receiving and at what price is the stock being issued?
Feb. 5. Issued 350 shares of common stock at par to an attorney in payment of legal fees for organizing the corporation.
Feb. 5. | Organizational Expenses | fill in the blank ac4e2f09107d03f_2 | fill in the blank ac4e2f09107d03f_3 |
Common Stock | fill in the blank ac4e2f09107d03f_5 | fill in the blank ac4e2f09107d03f_6 |
Recall that stock may be issued for reasons other than to receive cash. What are these shares paying for?
Apr. 9. Issued 15,500 shares of common stock in exchange for land, buildings, and equipment with fair market prices of $28,000, $154,000, and $35,000, respectively.
Apr. 9. | Land | fill in the blank c82b6dfbe076030_2 | fill in the blank c82b6dfbe076030_3 |
Buildings | fill in the blank c82b6dfbe076030_5 | fill in the blank c82b6dfbe076030_6 | |
Equipment | fill in the blank c82b6dfbe076030_8 | fill in the blank c82b6dfbe076030_9 | |
Common Stock | fill in the blank c82b6dfbe076030_11 | fill in the blank c82b6dfbe076030_12 | |
Paid-In Capital in Excess of Par-Common Stock | fill in the blank c82b6dfbe076030_14 | fill in the blank c82b6dfbe076030_15 |
Record the assets, and increase the common stock account by the par value of the shares. Record any amount above par in a separate paid-in capital equity account.
Recall that shares of stock can be issued to acquire assets. At what value must the
June 14. Issued 15,000 shares of preferred stock at $67 for cash.
June 14. | Cash | fill in the blank a6c2f3fc0fb6fea_2 | fill in the blank a6c2f3fc0fb6fea_3 |
Preferred Stock | fill in the blank a6c2f3fc0fb6fea_5 | fill in the blank a6c2f3fc0fb6fea_6 | |
Paid-In Capital in Excess of Par-Preferred Stock | fill in the blank a6c2f3fc0fb6fea_8 | fill in the blank a6c2f3fc0fb6fea_9 |
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