Part A During its first year of operations, the McCollum Corporation entered into the following transactions relating to shareholders' equity. The corporation was authorized to issue 110,000,090 common shares, $1 par per share. Required: Prepare the appropriate journal entries to record each transaction. Jan. 9 Issued 90,000,000 common shares for $30 per share. Mar. 11 Issued 6,000 shares in exchange for custom-made equipment. McCollum's shares have traded recently on the stock exchange at $30 per share. Part B A new staff accountant for the McCollum Corporation recorded the following journal entries during the second year of operations. McCollum retires shares that it reacquires (restores their status to that of authorized but unissued shares). Part B A new staff accountant for the McCollum Corporation recorded the following journal entries during the second year of operations. McCollum retires shares that it reacquires (restores their status to that of authorized but unissued shares). Credit Date Jan. 12 General Journal Land Paid-in capital-donation of land Debit 5,000,000 5,000,000 Sept. 1 Common stock Retained earnings Cash 2,000,000 68,000,000 70,000,000 Dec. 1 36,000,000 Cash Common stock Gain on sale of previously issued shares 1,000,000 35,000,000 Required: Prepare the journal entries that should have been recorded for each of the transactions. Part A Part B Prepare the appropriate journal entries to record each transaction. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 2 > Record the issue of 90,000,000 million common shares for $30 per share. Note: Enter debits before credits. Date General Journal Debit Credit Jan. 9 Cash Common stock Paid-in capitalexcess of par Part A Part B Prepare the appropriate journal entries to record each transaction. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the issue of 6,000 shares in exchange for custom-made equipment. McCollum's shares have traded recently on the stock exchange at $30 per share. Note: Enter debits before credits. Date Debit Credit Mar. 11 180,000 General Journal Equipment Common stock Paid-in capital excess of par 6,000 174,000 Part A Part B Prepare the journal entries that should have been recorded for each of the transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 2 3 > Record the donation of land. Note: Enter debits before credits. Date General Journal Debit Credit Jan. 12 Land Donation revenue Part A Part B Prepare the journal entries that should have been recorded for each of the transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 2 3 > Record the stock transaction occurring on Sept. 1. Note: Enter debits before credits. Date General Journal Debit Credit Sept. 1 Common stock Paid-in capital -excess of par Retained earnings Cash Part A Part B Prepare the journal entries that should have been recorded for each of the transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the stock transaction occurring on Dec. 1. Note: Enter debits before credits. Date General Journal Debit Credit Dec. 1 Cash Common stock Paid-in capital-excess of par
