Exercise 11-3 Accounting for par, stated, and no-par stock issuances LO P1

Rodriguez Corporation issues 11,000 shares of its common stock for $125,200 cash on February 20. Prepare journal entries to record this event under each of the following separate situations.

1. The stock has a $10 par value.
2. The stock has neither par nor stated value.
3. The stock has a $5 stated value.

• Record the issue of 11,000 shares of $10 par value common stock for $125,200 cash.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
1

• Record the issue of 11,000 shares of no-par, no-stated value common stock for $125,200 cash.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
2

• Record the issue of 11,000 shares of $5 stated value common stock for $125,200 cash.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
3