Righty, Inc., entered into a stock subscription contract that called for the purchase by investors of 15.000 shares of $12 par common stock at a price of $33 per share. The contract required a down payment of $15 per share, with the remaining $18 per share collectible at the end of three months. Required: a. Prepare the journal entry to record the stock subscription and down payment on February 3rd. b. The subscribers paid the remainder at the end of three months. Prepare the journal entries to record the final payment and the issuance of the shares of stock.

Righty, Inc., entered into a stock subscription contract that called for the purchase by investors of 15.000 shares of $12 par common stock at a price of $33 per share. The contract required a down payment of $15 per share, with the remaining $18 per share collectible at the end of three months. Required: a. Prepare the journal entry to record the stock subscription and down payment on February 3rd. b. The subscribers paid the remainder at the end of three months. Prepare the journal entries to record the final payment and the issuance of the shares of stock.

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 4RE: Sun Corporation issues 500 shares of 8 par common stock for a patent. The stock is currently selling...

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Spring Company is authorized to issue 500,000 shares of $2 par value common stock. In its first year, the company has the following transactions: Journalize the transactions and calculate how many shares of stock are outstanding at August 3.
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