LMN Corporation was incorporated with an authorized issue of 1,000, 6% preference shares, par value P100 each and 10,000, P10 par ordinary shares.

Following are the selected transactions of LMN for the month of January 2017

2. Subscription at par:

Alden Mendoza 1,000 ordinary shares

Jose Sotto 200 preferred shares

Vic de Leon 3,000 ordinary shares

3. Received of the payment of the above subscription.

8. Issuances of shares for cash Ryan Cruz 100 preferred shares at P105 Walter Santos 1,000 ordinary shares at P25

15. Received full payment of the balance of January 2 subscription and issued stock certificate.

16. Hired the services of Valdez Consultancy Company in exchange for 2,000 ordinary shares.

The market value of the services is P50,000.

27. LMN purchased 1,000 of its ordinary shares issued to Vic De Leon at P40 per share.

30. During the month the company earned total revenues of P 1,000,000 and incurred expenses equivalent to 60% of total revenues.

Choices:

Record the above transactions in the general journal. General Journal Date Particulars Page 1 Credit F Debit 2017 Jan 3 Subscription REC. Preferred Shares Subscribed Preferred Shares 16 Organizational Expenses P50,000 P15,000 P35,500 P500 Subscription REC. Preferred Shares P30,000 Share Premium-Ordinary Preferred Shares Treasury Shares P10,000 Share Premium Preferred P40,000 Ordinary Shares P50,000 Subscribed Preferred Shares Subscribed Ordinary Shares Share Premium Ordinary Subscription REC. Ordinary Shares Cash P20,000