Question
Bogota Incorporation manufactures toys for children. The company was incorporated on January 1, 2020 with an authorized share of 100,000 common stock with a $40
Bogota Incorporation manufactures toys for children. The company was incorporated on January 1, 2020 with an authorized share of 100,000 common stock with a $40 stated value per share and 60,000 shares of no-par value 12% preferred stock with a par value of $110 per share. The following stock transactions were completed during the first year. Jan-15: Issued 9000 shares of common stock for cash at $40 per share. Apr-15: Issued 9800 shares of preferred stock to buy a vacant land , The seller asked $1,500,000 for the land. However, each share was trading at $120 at that time. Jul-15: Issued 8600 shares of preferred stock for cash at $130 per share. Aug-15: A lawer has charged the company $87000 for the help in the registration process. The company in return of her service issued 1000 shares of common stock in the name of the lawyer. Nov-15: Issued 8500 shares of common stock for cash at $90 per share.
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