Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

Ravonette Corporation issued 334 shares of $13 par value common stock and 107 sh

ID: 2418144 • Letter: R

Question

Ravonette Corporation issued 334 shares of $13 par value common stock and 107 shares of $51 par value preferred stock for a lump sum of $17,685. The common stock has a market price of $30 per share, and the preferred stock has a market price of $90 per share.

Prepare the journal entry to record the issuance. (Round answers to 0 decimal places, e.g., 1520. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation

Debit

Credit

Account Titles and Explanation

Debit

Credit

Explanation / Answer

Cash account debit 17685

Common stock account credit (334*13) 4343

Preferred stock account credit (107*51) 5457

Paid in capital in excess of par account credit 7886