ch11 quest4

To expand operations, Aragon Consulting issued 1,400 shares of previously unissued common stock with a par value of $1. The price for the stock was $50 per share.

1-a.

Complete the table below, indicating the account, amount, and direction of the effect for the stock issuance. (Enter any decreases to account balances with a minus sign.)

Assets =	Liabilities +	Stock Holders Equity

1-b.	Prepare the journal entry for the stock issuance. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

Record the issuance of 1,400 shares with a $1 par value for a price of $50 per share.

Transaction	General Journal	Debit	Credit
1

2-a.

Complete the table below, indicating the account, amount, and direction of the effect for the stock issuance with a par value of $2. (Enter any decreases to account balances with a minus sign.)

Assets =	Liabilities	+ Stockholder's Equity

2-b.

Prepare the journal entry for the stock issuance, if the par value were $2 per share. (If no entry is required for a transaction/event,

Record the issuance of 1,400 shares with a $2 par value for a price of $50 per share

Transaction	General Journal	Debit	Credit
1