Exercises: 1. On April 1, 200A, Billy Jean Co. was granted its charter authorizing it to issue 100,000 shares of Php20 par value ordinary shares and 50,000 preference shares of Php10 par value. The following transactions were then completed in April: April 3 - Received from Johnny Jones subscriptions to 1,000 ordinary shares and 1,000 preference shares, both at par. Received 20% down payment. 4- Sold for cash 500 ordinary shares at par. 6- Received from Paul Lennon subscription to 2,000 ordinary shares at Php21 and 500 preference shares at Php12. Received 25% down payment. 10 - Received office equipment with fair value of Php11,000 from an investor for 500 ordinary shares. Page 15 of 16 12 - Issued 50 ordinary shares and 50 preference shares to the corporate promoter for services rendered during the incorporation. 14 - Received subscription to 250 ordinary shares at Php21 and 150 preference shares at Php12 per share. 16 - Received one-half of the balance of the account of Paul Lennon. 20 - Sold for cash 300 ordinary shares at Php22 per share and 200 preference shares at Php12 per share. 24 - Johnny Jones failed to pay his account. His subscriptions were declared delinquent and sold to public auction. 25 - Paid Php2,000 for advertising the delinquent subscription of Johnny Jones. 26 - Olivia Newton, the highest bidder, agreed to pay the balance of the subscription plus Php2,000 spent for advertising. 27- Paul Lennon paid in full the balance of his account and was issued the corresponding Shares. Required: Journal entries using two methods of recording share transactions. 2. The ABC Co. was organized with an authorized Php100,000 no par ordinary shares. The board of directors fixed the stated value at Php10 per share. The following transactions were completed: Jan. 2- Sold 2,000 shares at Php11 per share. Sold 1,000 shares at Php12, collecting 50% down payment. Feb. 1 - Received subscriptions to 4,000 shares at Php12 per share and received 20% down payment. March 1 - Sold 300 shares at Php10 in cash. April 1 - Collected the balance of the subscription on January 2. April 15 - Collected the balance of the subscription of February 1. May 6 - Sold the balance of the remaining shares at Php12 per share and received 20% down payment. Required: Journal entries to record the above transactions using the following assumptions 1. Shares are recorded at issue price. 2. Shares are recorded at par value. Pape Exercises: 1. On April 1, 200A, Billy Jean Co. was granted its charter authorizing it to issue 100,000 shares of Php20 par value ordinary shares and 50,000 preference shares of Php10 par value. The following transactions were then completed in April: April 3 - Received from Johnny Jones subscriptions to 1,000 ordinary shares and 1,000 preference shares, both at par. Received 20% down payment. 4- Sold for cash 500 ordinary shares at par. 6- Received from Paul Lennon subscription to 2,000 ordinary shares at Php21 and 500 preference shares at Php12. Received 25% down payment. 10 - Received office equipment with fair value of Php11,000 from an investor for 500 ordinary shares. Page 15 of 16 12 - Issued 50 ordinary shares and 50 preference shares to the corporate promoter for services rendered during the incorporation. 14 - Received subscription to 250 ordinary shares at Php21 and 150 preference shares at Php12 per share. 16 - Received one-half of the balance of the account of Paul Lennon. 20 - Sold for cash 300 ordinary shares at Php22 per share and 200 preference shares at Php12 per share. 24 - Johnny Jones failed to pay his account. His subscriptions were declared delinquent and sold to public auction. 25 - Paid Php2,000 for advertising the delinquent subscription of Johnny Jones. 26 - Olivia Newton, the highest bidder, agreed to pay the balance of the subscription plus Php2,000 spent for advertising. 27- Paul Lennon paid in full the balance of his account and was issued the corresponding Shares. Required: Journal entries using two methods of recording share transactions. 2. The ABC Co. was organized with an authorized Php100,000 no par ordinary shares. The board of directors fixed the stated value at Php10 per share. The following transactions were completed: Jan. 2- Sold 2,000 shares at Php11 per share. Sold 1,000 shares at Php12, collecting 50% down payment. Feb. 1 - Received subscriptions to 4,000 shares at Php12 per share and received 20% down payment. March 1 - Sold 300 shares at Php10 in cash. April 1 - Collected the balance of the subscription on January 2. April 15 - Collected the balance of the subscription of February 1. May 6 - Sold the balance of the remaining shares at Php12 per share and received 20% down payment. Required: Journal entries to record the above transactions using the following assumptions 1. Shares are recorded at issue price. 2. Shares are recorded at par value. Pape