Alexei Urmanov Corporation operates a retail computer store. To improve delivery services to customers, the company purchases

Question:

Alexei Urmanov operates a retail computer store. To improve delivery services to customers, the company purchases three new trucks on April 1, 2008. The terms of acquisition for each truck are described below.
1. Truck #1 has a list price of $15,000 and is acquired for a cash payment of $13,900.
2. Truck #2 has a list price of $16,000. It is acquired in exchange for a computer system that Urmanov carries in inventory. The computer system cost $12,000 and is normally sold by Urmanov for $15,200. Urmanov uses a perpetual inventory system.
3. Truck #3 has a list price of $14,000. It is acquired in exchange for 1,000 shares of in Urmanov The stock has a per share of $10 and a market value of $13 per share.

Instructions
Prepare the appropriate journal entries for the foregoing transactions for Urmanov Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...