Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

answer fastt plzzz i will vote u 3) Presented below is information related to Aranya Co. for 2019. 1. On February 1, Aranya issued 90,000

image text in transcribed

answer fastt plzzz i will vote u

3) Presented below is information related to Aranya Co. for 2019. 1. On February 1, Aranya issued 90,000 shares (authorized to issue 1,000,000 shares of $1 par value) of common stock at $30 per share. 2. On April 1, Aranya replaced one of its' used machines costed $200,000 with an accumulated depreciation of $110,000 with labor company and received additional $27,000 cash. Fair value of Aranya's machine at the time of exchange was $105,000. The cost, accumulated depreciation, and fair value of Labor Company's machine at the time of exchange were $125,000, $45,000, and $78,000 respectively. The exchange lacks commercial substance for both the parties. 3. On August 4, Aranya sold the 1,000 treasury shares that they had purchased on July 10 at $22 per share. The purchase price of the shares was $25 per share. There is no previous balance in the paid-in-capital from treasury stock account (journalize both purchase and resale). 4. On September 20, Aranya declared & issued a 10% stock dividend on the outstanding on stock when the stock is selling for $32 per share. 5. On December 31, Aranya declared a $0.70 per share liquidating dividend on the common stock outstanding Instructions Journalize the following transactions from the perspective of Aranya Co. (20)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Development Of Integrated Reporting In The SME SectorCase Studies From European Countries

Authors: Joanna Dyczkowska, Andrea Szirmai Madarasine, Adriana Tiron-Tudor

1st Edition

3030819027, 9783030819026

More Books

Students also viewed these Accounting questions