) P13-41 A (similar to) Question Help C- Mobile Wireless needed additional capit

Question

) P13-41 A (similar to) Question Help C- Mobile Wireless needed additional capital to expand, so the business incorporated. The charter from the state of Georgia authorizes C-Mobile to issue 60,000 shares of 10%, $50 par value cumulative preferred stock and 180 000 shares of $1 par valuo common stock During the first month. C-Mobile completed the foll transactions (Click the icon to view the transactions.) Read the requiregents Requirement 1. Record the transactions in the general jounal.,(Record debits finst, then credits. Select the explanation on the last line of the journal entry table) Oct. 2: Issued 22,000 shares of common stock for a building with a market value of $120,000 Requirements Debit Credit Date Accounts and Explanation Oct. 2 Choose from any list or enter any number in the input fields and then click Check Answer

Explanation / Answer

Journal entries :

Shareholder's equity section :

Date accounts & explanation debit credit Oct 2 Building a/c 120000    Common stock a/c 22000     Paid in capital in excess of par value-common stock 98000 (To record issue of common stock) Oct 6 Cash a/c 97500      Preferred stock a/c 32500      Paid in capital in excess of par value-preferred stock 65000 (TO record issuance of preferred stock) Oct 9 Cash a/c 90000     Common stock a/c 18000      Paid in capital in excess of par value -common stock 72000 (To record issuance of common stock) Oct 10 Dividend a/c 20000     Preferred dividend payable a/c 3250     Common dividend payable a/c 16750 (TO record dividend declared) Oct 25 Preferred dividend payable a/c 3250 Common dividend payable a/c 16750       Cash a/c 20000 (To record dividend paid)

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