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Lab 10, Question # 6 Doulane Marine obtained a charter from the province in Jonuary that authorized 1,000,000 common shares. During the first yeac, the
Lab 10, Question # 6
Doulane Marine obtained a charter from the province in Jonuary that authorized 1,000,000 common shares. During the first yeac, the company earned $429,000 and the following selected transactions occurred in the order given: a. Issued 700,000 common shares at $54 cash per share b. Reacquired and cencelled 25,000 shares at $50 cosh per share Required: 1. Indicate the effects of each transaction on the accounting equation. (Enter any decreases to Assets, Llabilities, or Stockholders' Equity with a minus sign.) 2. Prepare journal entries to record each transoction. (if no entry is required for a transaction/event, select "No journal entry required" in the first account fieid.) Journal entry worksheet Issued 700,000 common shares at $54 cash per share. Note. Enter cebits before credits 2. Prepare joumal entries to record each transaction. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Reacquired and cancelled 25,000 shares at $50 cash per share. Notei Einter debits before credits. 3. Prepare the shareholders' equity section of the balance sheet at December 31 Step by Step Solution
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