Rodriguez Corporation issues 19,000 shares of its common stock for $152,000 cash on February 20. Prepare journal entries to record this event under each of the following separate situations. 1. The stock has a $2 par value. 3. The stock has a $5 stated value. 2. The stock has neither par nor stated value.

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A: Formula: Cash received = Number of shares issued x Issue price per share

Q: Caribbean Corporation began operations on April 1 by issuing 60,000 shares of $5 par value common…

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

Q: On July 1, Pharoah Company purchases 590 shares of its $5 par value common stock for the treasury at…

A: Treasury Stock - It is reacquired stock which is brought back by the issuing company, reducing the…

Q: On May 10, Bramble Corp. issues 1,200 shares of $7 par value common stock for cash at $12 per share.…

A: Journal: Recording of a business transactions in a chronological order.

Q: Zurich Corporation has 18,000 shares of $80 par common stock outstanding. On August 2, Zurich…

A: Common Stock- Common Stock refers to the securities that represent individuals' ownership and have a…

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

A: Common Stock - Common Stock is the stock issued to the public for raising capital. This recorded in…

Q: James Incorporated is authorized to issue 5,000,000 shares of $1 par value common stock. In its…

A: When common stock is issued at price higher the par value , then we need to debit cash as cash is…

Q: Rodriguez Corporation issues 15,000 shares of its common stock for $209,500 cash on February 20.…

A: If shares were issued at a premium then the difference between issue price and par value is…

Q: Anslo Fabricating, Inc. is authorized to issue 10,000,000 shares of $5 stated value common stock.…

A: Journal Entries - Journal Entries are the recording of transactions of the organization. It is…

Q: On July 1, Marin Inc. purchases 510 shares of its $5 par value common stock for the treasury at a…

A: Solution:- Preparation of journal entry as follows under:-

Q: On May 3, Zirbal Corporation purchased 5,000 shares of its own stock for $45,000 cash. On November…

A:

Q: Can you help me to record journal entries for both of these events? On July 6, Nikosha's…

A: The answer is as fallows

Q: Rodriguez Corporation issues 7,000 shares of its common stock for $31,800 cash on February 20.…

A: Lets understand the basics. Stated value or par value is a value which is assign to corporation's…

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

A: Journal is the book where transactions are originally recorded.  Journal entry: A journal entry is…

Q: On June 1, Noonan Inc. issues 3,550 shares of no-par common stock at a cash price of $9 per share.…

A: All the transactions of an entity are properly accounted by making corresponding journal entries in…

Q: Ayayal Corporation was organized on January 1, 2022. It is authorized to issue 10,000 shares of 8%,…

A: Stockholders equity is one of the important component of balance sheet of the company. It includes…

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

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

Q: Bentley Corporation received cash from issuing 13,000 shares of common stock at par on January 1,…

A: In the given question, the Corporation has issued 13,000 shares at par. The par value per share is $…

Q: On July 1, Metlock, Inc. purchases 570 shares of its $5 par value common stock for the treasury at a…

A: Treasury stock refers to a method used by the organization to repurchase the issued stock. It is…

Q: Wonder Sales is authorized to issue 100,000 shares of 2%, $100 par preferred stock and 1,000,000…

A: Paid in capital excess of par- preferred stock on January 2 nd = 5000 shares ×$10 = $50000

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: asil Corporation is authorized to issue 900,000 shares of $10 par value common stock, and 200,000…

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

Q: LALALAND Corporation was organized on 1/1/2020. It was authorized to issue 2 million, $1 par, common…

A: Stockholder’s equity is a part of balance sheet which shows the total owner’s equity that is…

Q: Journalize the issuance of the stock

A: Stocks (Common Stock and Preferred Stock):   There are two types of the share capital of a company.…

Q: On May 23, Stoltz Realty Inc. issued for cash 80,000 shares of no-par common stock (with a stated…

A: It is assumed that the requirement for this question is the preparation of the journal entries.

Q: Bramble Corporation was organized on January 1, 2022. It is authorized to issue 10,500 shares of 8%,…

A: The process of recording business transactions in the books of accounts for the first time is…

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: Rodriguez Corporation issues 16,000 shares of its common stock for $42,300 cash on February 20.…

A: Journal entries are those which are recorded in the books in order to maintain a daily record of the…

Q: Feeney Corporation is authorized to issue 200,000 shares of $1 par value common stock and 50,000…

A: Stockholder's Equity - Stockholder's Equity is the section of the balance sheet that includes common…

Q: Vienna Corporation has 31,000 shares of $90 par common stock outstanding. On June 8, Vienna…

A: Stock Dividend: 'Stock dividend' is a dividend paid in the form of stocks. The stock dividend does…

Q: Pronghorn Corp. was organized on January 1, 2022. It is authorized to issue 19,800 shares of 7%, $50…

A: Any amount which is paid in excess of the face value of the stock needs to be credited to paid in…

Q: On March 28, the corporation purchased 10,000 shares as treasury stock at P15 per share. On April…

A: The issued and outstanding shares are the shares that are issued by the company and are not…

Q: Rodriguez Corporation issues 6,000 shares of its common stock for $95.300 cash on February 20.…

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

Q: Tropical Rainwear issues 2,000 shares of its $16 par value preferred stock for cash at $18 per…

A: If common stock or preference stock is issued at premium then the journal entry comprises of credit…

Q: Nelson Corporation issued 9,000 shares of ​$3 stated value common stock for ​$11 per share on July…

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

Q: Nebraska Inc. issues 2,750 shares of common stock for $88,000. The stock has a stated value of $20…

A: When common stock is issued above par/stated value then the journal entry comprises of debit of cash…

Q: On June 1, Larkspur, Inc. issues 1,100 shares of no-par common stock at a cash price of $8 per…

A: Total amount received = No. of shares issued x Issue price per share = 1,100 shares x  $8 per share…

Q: Rodriguez Corporation issues 9,000 shares of its common stock for $177,100 cash on February 20.…

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

Q: Rodriguez Corporation issues 12,000 shares of its common stock for $236,000 cash on February 20.…

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

Q: LALALAND Corporation was organized on 1/1/2020. It was authorized to issue 2 million, $1 par, common…

A: When the treasury stocks are re-issued at a price more than its cost then Additional paid-in capital…

Q: Fortuna Company is authorized to issue 1,000,000 shares of $1 par value common stock. In its first…

A: Authorized share capital means the share capital which is the company is legally authorized to…

Q: On May 23, Stoltz Realty Inc. issued for cash 111,000 shares of no-par common stock (with a stated…

A: Journal is a place where accounting transactions are listed in the book keeping system before ledger…

Q: When Wisconsin Corporation was formed on January 1, the corporate charter provided for 115,800…

A: Introduction:- The following basic information as follows under:- Wisconsin Corporation was formed…

Q: The charter of Dogwood Corporation authorizes the issuance of 1,000 shares of preferred stock and…

A: Any amount received in excess of par value of a share is known as paid-in capital in Excess of Par.…

Q: Rodriguez Corporation issues 8,000 shares of its common stock for $161,400 cash on February 20.…

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

Q: Wonder Sales is authorized to issue 100,000 shares of 2%, $100 par preferred stock and 1,000,000…

A: When stock is issued at a price higher than the par value, they are said to be issued at premium.…

Q: LALALAND Corporation was organized on 1/1/2020. It was authorized to issue 2 million, $1 par, common…

A: Additional Paid in Capital from Treasury stock represents the excess amount over its cost generated…

Q: ortuna Company is authorized to issue 1,000,000 shares of $1 par value common stock. In its first…

A: When shares of the company are issued at a value more than par value, then it means shares are…

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.