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Exercise 15-6 Splish Corporation is authorized to issue 47,000 shares of $5 par value common stock. During 2017, Splish took part in the following selected
Exercise 15-6
Splish Corporation is authorized to issue 47,000 shares of $5 par value common stock. During 2017, Splish took part in the following selected transactions.
1. | Issued 5,500 shares of stock at $44 per share, less costs related to the issuance of the stock totaling $7,200. | |
2. | Issued 1,200 shares of stock for land appraised at $47,000. The stock was actively traded on a national stock exchange at approximately $45 per share on the date of issuance. | |
3. | Purchased 520 shares of treasury stock at $45 per share. The treasury shares purchased were issued in 2013 at $42 per share. |
(a) | Prepare the journal entry to record item 1. | |
(b) | Prepare the journal entry to record item 2. | |
(c) | Prepare the journal entry to record item 3 using the cost method. |
(Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
No. Account Titles and Explanation Debit CreditStep by Step Solution
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