Exercise 11-1 During its first year of operations, Riverbed Corp had these trans

Question

Exercise 11-1 During its first year of operations, Riverbed Corp had these transactions pertaining to its common stock. Jan. 10 Issued 26,300 shares for cash at $4 per share. July 1 Issued 56,500 shares for cash at $7 per share. (a) Journalize the transactions, assuming that the common stock has a par value of $4 per share. (b) Journalize the transactions, assuming that the common stock is no-par with a stated value of $1 per share (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 O for the amounts.) No. Date Account Titles and Explanation Debit Credit

Explanation / Answer

SOLUTION

S.No. Date Account titles and Explanation Debit ($) Credit ($) 1. Jan.10 Cash (26,300 * $4) 105,200 Common stock 105,200 July 1 Cash (56,500 * $7) 395,500   Common stock (56,500 * $4) 226,000   Paid-in Capital in Excess of Par Value 169,500 2. Jan.10 Cash (26,300 * $4) 105,200 Common stock (26,300 * $1) 26,300 Paid-in Capital in Excess of Stated Value 78,900 July 1 Cash (56,500 * $7) 395,500 Common stock  (56,500 * $1) 56,500 Paid-in Capital in Excess of Stated Value 339,000

Related Questions

Navigate

• Browse (All)
• Browse E
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.