Question
On August 3, 2019, the date of incorporation, Quinn Company accepts separate subscriptions for 1,000 shares of $100 par preferred stock at $104 per share
On August 3, 2019, the date of incorporation, Quinn Company accepts separate subscriptions for 1,000 shares of $100 par preferred stock at $104 per share and 9,000 shares of no-par, no-stated-value common stock for $22 per share. The subscription contracts require a 10% down payment, with the balance due by November 1, 2019. Shares are issued to each subscriber upon full payment. On November 1, Quinn received the remaining balances for the shares of preferred stock and common stock.
Required: | |
Prepare journal entries to record all the transactions related to: | |
1. | the preferred stock |
2. | the common stock |
Nov. 1 | Cash | 93600 | |
Subscriptions Receivable | 93600 | ||
Preferred Stock Subscribed | 100000 | ||
Preferred Stock | 100000 | ||
Aug. 3 | Cash | 10400 | |
Subscriptions Receivable | 93600 | ||
Preferred Stock Subscribed | 100000 | ||
Additional Paid-In Capital on Preferred Stock | 4000 |
I need help with the ones in bold. What should I do with the dates? There isn't a date in preferred stock subscribed to preferred stock.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started