Date ACCT 2062- CORP. TRANSACTIONS INSTRUCTIONS es Prepare journal entries to record the following PAPO' CORP. transactions Oct. 1. Issued 400,000 shares of $3 par value common stock for $35 per share. 1 Issued 12,000 shares of common stock to attorneys in payment of their bill of 560,000 for services rendered in helping the company organize. 1 Purchased office equipment on account from Office Station Co. $2,000. 1. Purchases an asset today in exchange for a$100,000 zero-interest-bearing note payable four years from now. The company would record the asset at the present value of the $100,000 note establishes the exchange price of the transaction (the purchase price of the asset) Assuming the present value is $ 75,816. 1. Purchase some adjacent land for expansion. In lieu of paying cash for the land, the company issues to Deedland Company 5,000 shares of common stock (par value $10) that have a fair value of $12 per share. 1. The Corp trades its used machine for a new model. The exchange has commercial substance. The original cost $12,000 less $4,000 accumulated depreciation and a fair value of $6,000. The new model lists for $16,000. The Information Processing a trade-in allowance of $9,000 for the used machine Purchased used truck for $8,000, paying $3,000 cash and the balance on account. Issued 25,000 shares of $3 par value stock for land valued at $280,00o. 2. 3. 4. Accepted a donation of land with a fair value of $150,000 from the Memphis Industrial Development Corp. 12. Paid Office station Co. for part of the debt incurred on October 1, S1,000. 17 Paid cash for office equipment installation and testing $300. 18 Purchased a patent for $20,000 18. Issued 160,000 shares of $3par value stock for land valued at $350,000. 19 Purchased land and building for $300,000 cash. The appraised values are building. $322,500, and land, $177,500. 20 Paid cash for fill and clearing land $7,500. 21 Paid cash for insurance during office equipment transit $500