Spring Company is authorized to issue 500,000 shares of $1 par value common stock. In its first year, the company has the following transactions: Mar. 1 Issued 40,000 shares of stock at $9.75 per share Apr. 10 Issued 1,000 shares of stock for legal services valued at $10,000. Oct. 3 Purchased 1,000 shares of treasury stock at $9 per share Journalize the transactions and calculate how many shares of stock are outstanding at August 3.

Q: Incentive Corporation was authorized to issue 12,000 shares of common stock, each with a $1…

A:

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

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Q: Leone Co. had the following transactions during the current period. – Mar. 2 Issued 5,000 shares of…

A:

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Q: The entry to record the above transaction would include a a. debit to Cash for $85,000 b. credit to…

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

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A: Total Shareholders' Equity  = Common Stock + Retained Earnings

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Q: Sheridan Company was organized on January 1, 2022. It is authorized to issue 12,500 shares of 8%,…

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Q: Autumn Corporation was organized in August. It is authorized to issue 100,000 shares of $ 100 par…

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Q: Spring Company is authorized to issue 7500,000 shares of $2 par value common stock. In its first…

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A: Shares can be referred to as the small denominations of the share capital of a company. The shares…

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Q: OM, Inc. was organized on January 1, 20X4. The firm was authorized to issue 100,000 shares of $2 par…

A: Issued 30,000 shares @ $ 7 = $ 210,000 Issued 30,000 shares @ $ 8 = $ 240,000

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

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

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

Q: Kingbird, Inc. had the following transactions during the current period. Mar. 2   Issued 4,400…

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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.