Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

Please answer the errors clearly and in an organaized way Record journal entries for the following separate transactions. -Note: As needed, use the account Common

Please answer the errors clearly and in an organaized way
image text in transcribed
image text in transcribed
image text in transcribed
Record journal entries for the following separate transactions. -Note: As needed, use the account "Common Stock" for parts a through e, and use the accounts "Common Stock-Class A" and "Common Stock-Class B" for parts f and g. - Note: As needed, use the account "Paid-in Capital in Excess of Par-Common Stock" for parts a through e, and use the accounts "Paid-in Capital in Excess of Par-Class A Common Stock" and "Paid-in Capital in Excess of Par-Class B Common Stock" for parts f and g. a. Max inc. issued 14,000 shares of $1 par value common stock for $20 per share. b. Max inc. issued 2,800 shares of no-par common stock for $25 per share. The state of incorporation requires a minimum value per share of $2 c. Max Inc. issued 1,400 shares of no-par common stock for $18 per share. d. Max Inc. issued 14,000 shares of $1 par value common stock for $18 per share and incurred $2,800 in legal fees related to the stock issuance. e. Max Inc. issued 28,000 shares of common stock ( $1 par) in exchange for equipment with a fair value of $498,400. f. Max Inc. issued 8,400 shares of Class A common stock ( $1 par) and 11,200 shares of Class B common stock ( $2 par) for $224,000 cash. At the time of issuance, the market price of the Class A common stock is $15 per share, and the market price of the Class B common stock is $10 per share. g. Max Inc, issued 8,400 shares of Class A common stock ( $1 par) and 11,200 shares of Class B common stock ( $2 par) for $238,000 cash. At the time of issuance, the market price of the Class A common stock is $16 per share, and the market price of the Class B common stock is unknown. \begin{tabular}{|l|} \hline Date \\ \hline a. Jan, 1 \\ \hline \end{tabular} To record the issuance of stock. b. Jan. 1 To record the issuance of stock. c. jan. 1 To record the issuance of stock. d. Jan. 1 To record the issuance of stock. e. Jan. 1 To record the issuance of stock. 1. jan. 1 To record the isswance of stock. g. Jan, 1 To record the issuance of stock

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions