Question
Hello, I've been working on this problem, want to make sure my work is right! Thank you! On January 1, 2019, the Amity Island Swimsuit
Hello, I've been working on this problem, want to make sure my work is right! Thank you!
On January 1, 2019, the Amity Island Swimsuit Company had 10,000 shares of 5%, $100 par, cumulative Preferred Stock authorized with 4,000 shares issued and outstanding.It also had 50,000 shares of $5 par common stock authorized with 15,000 shares issued and outstanding.
Jul18 Issued 2,000 shares of common stock in exchange for legal services.The value of the stock at the time of issue was $17 per share.
Aug 24 Purchased equipment with a fair market value of $120,000 by paying $24,000 in cash, issuing a note payable for $80,000 and issuing 800 shares of $5 par common stock.Oct7 Re-issued 400 of the treasury shares purchased on May 12 for $14 per share.
Nov2 Declared $95,000 in dividends to be paid on December 2 to stockholder's of record on November 30.Dividends have been paid each previous year.
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