Madison Shoes manufactures athletic shoes and sports apparel. Assume the following activities occurred during a recent year. The dollar amounts in (a) and (b) are presented "in millions," and the dollar amount in (c) is per share. When reporting amounts "in millions," exclude the 000,000.

Purchased $256 in equipment; paid by signing a $5 long-term note and fulfilling the rest with cash.

Issued $39 in additional common stock for cash contributions made by stockholders.

Several Madison Shoes investors sold their own stock to other investors on the stock exchange for $200 per share of stock.

Required:

For each of the events above, prepare journal entries.

Which statement best describes transaction (c)?

Complete this question by entering your answers in the tabs below.

Required 1

Required 2

For each of the events above, prepare journal entries. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).)

Journal entry worksheet

Purchased $256 in equipment; paid by signing a $5 long-term note and fulfilling the rest with cash. Record the transaction.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
a	Equipment
	Cash

Journal entry worksheet

Issued $39 in additional common stock for cash contributions made by stockholders. Record the transaction.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
b

Several Madison Shoes investors sold their own stock to other investors on the stock exchange for $200 per share of stock. Record the transaction.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
c

Journal entry worksheet

Several Madison Shoes investors sold their own stock to other investors on the stock exchange for $200 per share of stock. Record the transaction.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
c

Complete this question by entering your answers in the tabs below.

Required 1

Required 2

Which statement best describes transaction (c)?

	Transaction (c) occurs between the business and others in the stock market. Hence it will have an effect on the business.radio button unchecked1 of 2 Transaction (c) occurs between the owners and others in the stock market. Hence there is no effect on the business.