Selected stock transactions Alpha Sounds Corp , an electric guitar retailer, was organized by Michele Kirby, Paul Glenn, and Gretchen Northway The charter authorized 300,000 shares of common stock with a par of $1 The following transactions affecting stockholders' equity were completed during the first year of operations Journalize the entries to record the transactions If an amount box does not require an entry, leave it blank Question Content Area a Issued 13,000 shares of stock at par to Paul Glenn for cash blank Account Debit Credit blank CashCommon StockPaid In Capital in Excess of Par CommonPaid In Capital in Excess of Par PreferredPreferred Stock Select Select CashCommon StockPaid In Capital in Excess of Par CommonPaid In Capital in Excess of Par PreferredPreferred Stock Select Select Question Content Area b (1) Issued 850 shares of stock at par to Michele Kirby for promotional services provided in connection with the organization of the corporation, and (2) issued 15,000 shares of stock at par to Michele Kirby for cash Transaction Account Debit Credit (1) Common StockOrganizational ExpensesPaid In Capital in Excess of Par CommonPreferred StockRetained Earnings Select Select CashCommon StockOrganizational ExpensesPaid In Capital in Excess of Par CommonPreferred Stock Select Select (2) CashCommon StockPaid In Capital in Excess of Par CommonPreferred StockRetained Earnings Select Select CashCommon StockOrganizational ExpensePaid In Capital in Excess of Par CommonPreferred Stock Select Select Question Content Area c Purchased land and a building from Gretchen Northway in exchange for stock issued at par The land has a fair value of $50,000, and the building has a fair value of $110,000 blank Account Debit Credit blank CashCommon StockInterest PayableLandMortgage Note Payable Select Select BuildingCommon StockInterest PayableMortgage Note PayablePaid In Capital in Excess of Par Select Select CashCommon StockLandPaid In Capital in Excess of ParRetained Earnings Select Select

The Answer is in the image, click to view ...

Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Sep 11, 2024

Selected stock transactions Alpha Sounds Corp., an electric guitar retailer, was organized by Michele Kirby, Paul Glenn, and Gretchen Northway. The charter authorized 300,000 shares

Selected stock transactions

Alpha Sounds Corp., an electric guitar retailer, was organized by Michele Kirby, Paul Glenn, and Gretchen Northway. The charter authorized 300,000 shares of common stock with a par of $1. The following transactions affecting stockholders' equity were completed during the first year of operations.

Journalize the entries to record the transactions.

If an amount box does not require an entry, leave it blank.

Question Content Area

a. Issued 13,000 shares of stock at par to Paul Glenn for cash.

blank	Account	Debit	Credit
blank	CashCommon StockPaid-In Capital in Excess of Par-CommonPaid-In Capital in Excess of Par-PreferredPreferred Stock	- Select -	- Select -
	CashCommon StockPaid-In Capital in Excess of Par-CommonPaid-In Capital in Excess of Par-PreferredPreferred Stock	- Select -	- Select -

Question Content Area

b. (1) Issued 850 shares of stock at par to Michele Kirby for promotional services provided in connection with the organization of the corporation, and (2) issued 15,000 shares of stock at par to Michele Kirby for cash.

Transaction	Account	Debit	Credit
(1)	Common StockOrganizational ExpensesPaid-In Capital in Excess of Par-CommonPreferred StockRetained Earnings	- Select -	- Select -
	CashCommon StockOrganizational ExpensesPaid-In Capital in Excess of Par-CommonPreferred Stock	- Select -	- Select -
(2)	CashCommon StockPaid-In Capital in Excess of Par-CommonPreferred StockRetained Earnings	- Select -	- Select -
	CashCommon StockOrganizational ExpensePaid-In Capital in Excess of Par-CommonPreferred Stock	- Select -	- Select -

Question Content Area

c. Purchased land and a building from Gretchen Northway in exchange for stock issued at par. The land has a fair value of $50,000, and the building has a fair value of $110,000.

blank	Account	Debit	Credit
blank	CashCommon StockInterest PayableLandMortgage Note Payable	- Select -	- Select -
	BuildingCommon StockInterest PayableMortgage Note PayablePaid-In Capital in Excess of Par	- Select -	- Select -
	CashCommon StockLandPaid-In Capital in Excess of ParRetained Earnings	- Select -	- Select -