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https://edugen.wileyplus.com/edugen/student/mainfr.uni k CRC Website N Yahoo Mail eBay CALCULATOR FULL SCREEN PRINTER VERSION ·BACK NEXT Problem 11-1A Tidal Corporation was organized on January 1, 2017. It is authorized to issue 20,000 shares of 6 and 500,000 shares of no-par common stock with a stated value of $1 per share. The following stock transactions were completed during the first year %, $50 par value preferred stock Jan. 10 Mar. 1 May 1 Sept. 1 Nov. 1 Issued 70,000 shares of common stock for cash at $4 per share. Issued 12,000 shares of preferred stock for cash at $53 per share. Issued 120,000 shares of common stock for cash at $6 per share. Issued 5,000 shares of common stock for cash at $5 per share. Issued 3,000 shares of preferred stock for cash at $56 per share. Jounalize the transactions. (Record journal entries in the order presented in the problem. 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.) Debit Credit Date Account Titles and Explanation

Explanation / Answer

1.

2.       Preferred stock

      Paid in capital in excess of par value - Preferred stock

         Common stock

     

   Paid in capital in excess of par value - common stock

3. Stockholder's equity

paid in capital :

6% preferred stock ,$50 par value ,20000 share authorised and 15000 issued = $750000

Common stock ,no par stated value $1 per share,500000 share authorised and 195000 issued = $195000

   Total capital stock = $945000

Additional paid in capital:

Paid in capital in excess of par value - preferred stock $54000

Paid in capital in excess of par value - common stock   $830000

Date Accounts title Dr Cr 10 jan Cash(70000* $4) 280000 To paid in capital in excess of par- common stock (70000 *$3) 210000 To common stock (70000 *$1) 70000 1 Mar Cash(12000* $53) 636000 To paid in capital in excess of par- preferred stock(12000 *$3) 36000 To preferred stock (12000 *$50) 600000 1 May Cash(120000* $6) 720000 To paid in capital in excess of par- common stock (120000 *$5) 600000 To common stock (120000 *$1) 120000 1 Sept Cash(5000* $5) 25000 To paid in capital in excess of par- common stock (5000 * $4) 20000 To common stock (5000 *$1) 5000 1 Nov Cash (3000 * $56) 168000 To paid in capital in excess of par- preferred stock(3000 *$6) 18000 To preferred stock (3000*$50) 150000

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