Required: Prepare the journal entries for the above transactions. Jan. 15 (Record sale of preferred and common stock) Oct. 1 (Record purchase of treasury shares)

Q: Mystic Lake Inc. bottles and distributes spring water. On July 9 of the current year, Mystic Lake…

A: Treasury stock=Number of shares×Per share value=5,100×$64=$326,400

Q: Instructions Selected transactions completed by Canyon Ferry Boating Corporation during the current…

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

Q: Elroy Corporation repurchased 3,400 shares of its own stock for $40 per share. The stock has a par…

A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…

Q: Mystic Lake Inc. bottles and distributes spring water. On July 9 of the current year, Mystic Lake…

A: a.

Q: Treasury Stock Transactions Lava Lake Inc. bottles and distributes spring water. On February 11 of…

A: The stock which is bought back or repurchased by the shareholders of the entity is generally…

Q: Treasury Stock Transactions Mystic Lake Inc. bottles and distributes spring water. On July 9 of the…

A:

Q: On January 1, Crane Corporation had 94,500 shares of no-par common stock issued and outstanding. The…

A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…

Q: On February 13, Elman Corporation issued for cash 75,000 shares of no-par common stock (with a…

A: The reporting of the transactions in the accounting books can primarily be done by recording Journal…

Q: Elroy Corporation repurchased 1,100 shares of its own stock for $55 per share. The stock has a par…

A: Treasury stock: Shares which are bought back by the company from the open market but not retired…

Q: Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31,…

A: A journal entry is prepared in order to record the financial transactions in the books of…

Q: Issuing Stock Ergonomics Supply Inc., a wholesaler of office products, was organized on July 1 of…

A: Given that: Par value of common stock = $60 Par value of preference stock = $20

Q: Ergonomics Supply Inc., a wholesaler of office products, was organized on July 1 of the current…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: Selected transactions completed by Breezeway Construction during the current fiscal year are as…

A: Stockholder's Equity - Stockholder's Equity includes the amount contributed by shareholders issued…

Q: Record following stock transactions of Smith Corporation, which represent all its treasury stock…

A: Journal entry: It is the primary stage of recording any transactions incurred in the business. It…

Q: Treasury Stock Transactions Biscayne Bay Water Inc. bottles and distributes spring water. On May 14…

A: "Since you have posted a question with multiple sub parts, we will solve first three sub parts for…

Q: Selected transactions completed by Equinox Praducts Inc during the fiscal year ended December 31,…

A: 1. Journal 10 Date Description Post. Ref Debit Credit Jan 3 Cash   450000…

Q: Issuing Stock Professional Products Inc., a wholesaler of office products, was organized on…

A:

Q: Entries to issue stock                                   Devers Company had the following…

A: Introduction: A journal entry is used to describe a transaction that is recorded in the company's…

Q: On January 1, Sheffield Corp. had 56,600 shares of no-par common stock issued and outstanding. The…

A: Dividend is payable on No. of outstanding shares.

Q: On Jan 1 Al Seeb SAOG had 40,000 shares of OMR 10 par value ordinary shares issued and outstanding.…

A: Investment in equity securities is the current or non-current investment made by the firm in the…

Q: ntries for Treasury Stock On May 27, Let Loose Inc. reacquired 3,800 shares of its common stock at…

A: Treasury stock is the corporation's issued stock that has been bought back from the stockholders. As…

Q: Professional Products Inc., a wholesaler of office products, was organized on February 5 of the…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: Issuing stockProfessional Products Inc., a wholesaler of office products, was organized on February…

A: Raising of capital by the company can be from issue of common stock, prefernece stock or bonds.

Q: On January 1, Pharoah Company had 64,500 shares of no-par common stock issued and outstanding. The…

A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…

Q: Recording the Sale of Common and Preferred Stock At the end of its first year of operations,…

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

Q: Green Thumb, Inc. had 18,000 shares of common stock outstanding on January 1. An additional 6,000…

A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…

Q: Elroy Corporation repurchased 2,500 shares of its own stock for $35 per share. The stock has a par…

A: Treasury shares are those shares which are being repurchased by the company from its own…

Q: Mystic Lake Inc. bottles and distributes spring water. On July 9 of the current year, Mystic Lake…

A: A company may choose to buy back its own issued and outstanding shares from the market. Management…

Q: On February 13, Solo Inc. reacquires 50,000 shares of its $1 par value common stock at the current…

A: Financial statements are the recording of business transactions in the various statements which are…

Q: On January 1, Guillen Corporation had 95,000 shares of no-par common stock issued and outstanding.…

A: Dividend can be defined as the profit distribution done by a corporation to its shareholders, who…

Q: Journalize the transactions of February 11, April 30, and Au

A:

Q: Ise Entries for Treasury Stock On May 27, Buzz Off Inc. reacquired 4,600 shares of its common stock…

A: When a company reacquires/purchases its owns share, it called treasury shares. Assumption :cost…

Q: Hi-C Company has $1,000,000 shares of 10%, $20 Par Value Preferred Stock outstanding. On December…

A: The Company has $1,000,000 shares of 10%, $ 20 Par Value Preferred Stock outstanding. On December…

Q: Top-Value Corporation has 900,000 shares of $26 par common stock outstanding. On September 2,…

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

Q: Blossom Company had these transactions during the current period. June 12   Issued 82,000 shares…

A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…

Q: Erogomomics Supply Inc., organized on July 1 of the current year with the authorization of 80,000…

A: A journal entry records a business transaction and is the first step of the accounting cycle. Every…

Q: Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31,…

A: They are the first step to record the financial transactions in the books of accounts that has dual…

Q: McVie Corporation's stock has a par value of $2. The company has the following transactions during…

A: The company can raise funds by various methods. Some of them are, by way of issuing common stock,…

Q: Treasury Stock Transactions Mystic Lake Inc. bottles and distributes spring water. On July 9 of the…

A: A journal entry is used to record day-to-day transactions of the business by debiting and crediting…

Q: Ivanhoe Company had these transactions during the current period. June 12   Issued 82,500 shares…

A: Amount credited to common stock = $82,500*$1 Amount credited to common stock = $82,500   Paid in…

Q: Mt. Everst Company has $1,000,000 shares of 10%, $20 Par Value Preferred Stock outstanding. On…

A: 4% Stock Dividend is recorded using the market price of the stock as of the date of stock dividends…

Q: A company has two classes of stock authorized: 9%, $10 par preferred, and $1 par value common. The…

A:

Q: Weighted Average Shares At the beginning of the current year, Hardin Company had 20,000 shares of…

A: Stock: Stock represents the number of shares owned by the investors (individual or group) in a…

Q: Mt. Everest Company has $1,000,000 shares of 10%, $20 Par Value Preferred Stock outstanding. On…

A: 10% $20 Par Value Preferred Stock = $10,00,000 i.e.. 50,000 shares of $20 par each   Stock dividend…

Q: Treasury Shares On October 10, the capital of the shareholders (stockholders' equity) of Sherman…

A: Lets understand the basics. Journal entry is required to make to record event and transaction that…

Q: Treasury Stock Transactions Lava Lake Inc, bottles and distributes spring water. On February 11 of…

A: Date Account Titles and Explanation  Debit   Credit  Feb'11 Treasury Stock (180,000 shares X $ 17…

Q: Issuing Stock Professional Products Inc., a wholesaler of office products, was organized on…

A: The Par value of a common share is $10. So Common Stock will always be credited by the amount of…

Q: Mystic Lake Inc. bottles and distributes spring water. On July 9 of the current year, Mystic Lake…

A: Solution a:  Journal Entries for the transactions of July 9, September 22, and November 23 are as…

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.