Check my work E11-9 (Algo) Determining the Effects of Transactions on Stockholders' Equity LO11-1, 11-3, 11-7, 11-8 Quick Fix-lt Corporation was organized at the beginning of this year to operate several car repair businesses in a large metropolitan area. The charter issued by the state authorized the following stock: Common stock. $14 par value, 98,800 shares authorized Preferred stock. $43 par value, 8 percent, 59,900 shares authorized During January and February of this year, the following stock transactions were completed: a. Sold 79,000 shares of common stock at $28 cash per share. b. Sold 22,000 shares of preferred stock at $64 cash per share. c. Bought 5,700 shares of common stock from a current stockholder for $14 cash per share. Required: Net income for the year was $90,200; cash dividends declared and paid at year-end were $30,900. Prepare the stockholders' equity section of the balance sheet at the end of the year. (Amounts to be deducted should be indicated with a minus sign.) es QUICK FIX-IT CORPORATION Balance Sheet (Partial) At December 31, This year Stockholders' equity Contributed capital E11-11 (Algo) Recording Stockholders' Equity Transactions LO11-3, 11-8 On-Line Learning Corporation obtained a charter at the beginning of this year that authorized 54,000 shares of no- par common stock and 29,000 shares of preferred stock, $17 par value. The corporation was organized by four individuals who purchased a total of 44,000 shares of the common stock. The remaining shares were to be sold to other individuals. During the year, the following selected transactions occurred: a. Collected $34 cash per share from the four organizers and issued 11,000 shares of common stock to each of them. b. Sold 12,000 shares of common stock to an outsider at $68 cash per share. c. Sold 13,000 shares of preferred stock at $51 cash per share. Required: 1. Prepare the journal entries for each of these transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Collected $34 cash per share from the four organizers and issued 11,000 shares of common stock to each of them. Note Enter debits before credits Transaction General Journal Debit Credit Check my work E11-3 (Algo) Determining the Effects of the Issuance of Common and Preferred Stock LO11- 1, 11-3, 11-7, 11-8 Tandy Company was issued a charter by the state of Indiana on January 15 of this year. The charter authorized the following: Common stock, $8 par value, 121,000 shares authorized Preferred stock, 12 percent, par value $6 per share, 5,200 shares authorized During the year, the following transactions took place in the order presented: a. Sold and issued 20,400 shares of common stock at $12 cash per share. b. Sold and issued 1.700 shares of preferred stock at $16 cash per share. c. At the end of the year, the accounts showed net income of $41700. No dividends were declared. Required: 1. Prepare the stockholders' equity section of the balance sheet at the end of the year. TANDY, INCORPORATED Balance Sheet (Partial) At December 31, this year Stockholders' equity Contributed capital E11-9 (Algo) Determining the Effects of Transactions on Stockholders' Equity L011-1, 11-3, 11-7, 11-8 Quick Fix-It Corporation was organized at the beginning of this year to operate several car repair businesses in a large metropolitan area. The charter issued by the state authorized the following stock: Common stock, $17 par value, 99,000 shares authorized Preferred stock. $42 par value, 8 percent, 60,000 shares authorized During January and February of this year, the following stock transactions were completed: a. Sold 78,400 shares of common stock at $34 cash per share. b. Sold 20,100 shares of preferred stock at $79 cash per share. c. Bought 4,800 shares of common stock from a current stockholder for $12 cash per share. Required: Net income for the year was $90,700: cash dividends declared and paid at year-end were $31,200. Prepare the stockholders' equity section of the balance sheet at the end of the year. (Amounts to be deducted should be indicated with a minus sign.) QUICK FIX-IT CORPORATION Balance Sheet (Partial) At December 31, This year Stockholders' equity Contributed capital Check my work E11-11 (Algo) Recording Stockholders' Equity Transactions L011-3, 11-8 On-Line Learning Corporation obtained a charter at the beginning of this year that authorized 67,000 shares of no- par common stock and 38,000 shares of preferred stock. $14 par value. The corporation was organized by four individuals who purchased a total of 20,000 shares of the common stock. The remaining shares were to be sold to other individuals. During the year, the following selected transactions occurred: a. Collected $28 cash per share from the four organizers and issued 5,000 shares of common stock to each of them. b. Sold 6,000 shares of common stock to an outsider at $56 cash per share. c. Sold 7,000 shares of preferred stock at $42 cash per share. Required: 1. Prepare the journal entries for each of these transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list 2. Is it ethical to sell stock to outsiders at a higher price than the amount paid by the organizers? Yes No Prex 10 of 10 Next