Question
Stock Issuance Catskill had the following transactions during 2017: Required: Identify and analyze the effect of each transaction. 1. Issued 1,700 shares of $10 par
Stock Issuance
Catskill had the following transactions during 2017:
Required:
Identify and analyze the effect of each transaction.
1. Issued 1,700 shares of $10 par common stock for cash at $17 per share.
| Activity | |
| Accounts | |
| Statement(s) |
How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign.
| Bala nce Sheet | Inco me Statement | ||||||||||||||
| Stockholders' | Net | ||||||||||||||
| Assets | = | Liabilities | + | Equity | Revenues | Expenses | = | Income | |||||||
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| Activity | |
| Accounts | |
| Statement(s) |
How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign.
| Bala nce Sheet | Inco me Statement | ||||||||||||||
| Stockholders' | Net | ||||||||||||||
| Assets | = | Liabilities | + | Equity | Revenues | Expenses | = | Income | |||||||
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3. Issued 4,100 shares of $10 par common stock as payment to a company that provided advertising for the company. The stock was selling on the stock exchange at $12 per share at the time of issuance.
| Activity | |
| Accounts | |
| Statement(s) |
How does this entry affect the accounting equation? If a financial statement item is not affected, select "No Entry" and leave the amount box blank. If the effect on a financial statement item is negative, i.e, a decrease, be sure to enter the answer with a minus sign.
| Bala nce Sheet | Inco me Statement | ||||||||||||||
| Stockholders' | Net | ||||||||||||||
| Assets | = | Liabilities | + | Equity | Revenues | Expenses | = | Income | |||||||
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Principles of Accounting
Authors: Belverd E. Needles, Marian Powers and Susan V. Crosson
12th edition
978-1133603054, 113362698X, 9781285607047, 113360305X, 978-1133626985
