Question
Carla Corporations charter authorized issuance of 105,000 shares of $10 par value common stock and 49,500 shares of $50 preferred stock. The following transactions involving
Carla Corporations charter authorized issuance of 105,000 shares of $10 par value common stock and 49,500 shares of $50 preferred stock. The following transactions involving the issuance of shares of stock were completed. Each transaction is independent of the others.
1. Issued a $9,200, 9% bond payable at par and gave as a bonus one share of preferred stock, which at that time was selling for $102 a share.
2. Issued 460 shares of common stock for equipment. The equipment had been appraised at $7,000; the sellers book value was $6,400. The most recent market price of the common stock is $15 a share.
3. Issued 343 shares of common and 107 shares of preferred for a lump sum amounting to $11,000. The common had been selling at $13 and the preferred at $69.
4. Issued 190 shares of common and 50 shares of preferred for equipment. The common had a fair value of $15 per share; the equipment has a fair value of $6,100.
Record the transactions listed above in journal entry form.
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