Tony and Suzie have purchased land for a new camp Now they need money to build the cabins, dining facility, a ropes course, and an outdoor swimming pool Tony and Suzie first checked with Summit Bank to see if they could borrow an additional $1 million, but unfortunately the bank turned them down as too risky Undeterred, they promoted their idea to close friends they had made through the outdoor clinics and TEAM events They decided to go ahead and sell shares of stock in the company to raise the additional funds for the camp Great Adventures has authorized $1 par value common stock When the company began on July 1, 2021, Tony and Suzie each purchased 10,000 shares (20,000 shares total) of $1 par value common stock at $1 per share The following transactions affect stockholders equity during the remainder of 2022 November 5 Issue an additional 136,000 shares of common stock for $10 per share November 16 Purchase 13,600 shares of its own common stock (i e , treasury stock) for $33 per share November 24 Resell 7,600 shares of treasury stock at $34 per share December 1 Declare a cash dividend on its common stock of $15,000 ($0 10 per share) to all stockholders of record on December 15 December 20 Pay the cash dividend declared on December 1 December 31 Pay $890,000 for construction of new cabins and other facilities The entire expenditure is recorded in the Buildings account why am i wrong where its red Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Prepare the journal entries for transactions (If no entry is required for a particular transaction event, select No Jou Required in the first account field ) Credit No 1 Date Nov 05 Debit 1,360,000 General Journal Cash Common Stock Additional Paid in Capital 136,000 1,224,000 2 Nov 16 448,800 Treasury Stock Cash 448,800 Nov 24 258,400 Cash Treasury Stock Additional Paid in Capital 250,800 7,600 Dec 01 15,000 Dividends Dividends Payable 15,000 ooooooooooooooo Dec 20 15,000 Dividends Payable Cash 15,000 Dec 30 890,000 Buildings Cash 890,000 Dec 31 No Journal Entry Required Dec 31 No Journal Entry Required Dec 31 15,000 Retained Earnings Dividends 15,000

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

Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Aug 05, 2024

Tony and Suzie have purchased land for a new camp. Now they need money to build the cabins, dining facility, a ropes course, and an

Tony and Suzie have purchased land for a new camp. Now they need money to build the cabins, dining facility, a ropes course, and an outdoor swimming pool. Tony and Suzie first checked with Summit Bank to see if they could borrow an additional $1 million, but unfortunately the bank turned them down as too risky. Undeterred, they promoted their idea to close friends they had made through the outdoor clinics and TEAM events. They decided to go ahead and sell shares of stock in the company to raise the additional funds for the camp.

Great Adventures has authorized $1 par value common stock. When the company began on July 1, 2021, Tony and Suzie each purchased 10,000 shares (20,000 shares total) of $1 par value common stock at $1 per share. The following transactions affect stockholders equity during the remainder of 2022:

November	5	Issue an additional 136,000 shares of common stock for $10 per share.
November	16	Purchase 13,600 shares of its own common stock (i.e., treasury stock) for $33 per share.
November	24	Resell 7,600 shares of treasury stock at $34 per share.
December	1	Declare a cash dividend on its common stock of $15,000 ($0.10 per share) to all stockholders of record on December 15.
December	20	Pay the cash dividend declared on December 1.
December	31	Pay $890,000 for construction of new cabins and other facilities. The entire expenditure is recorded in the Buildings account. why am i wrong where its red?!

Requirement General Journal General Ledger Trial Balance Income Statement Balance Sheet Prepare the journal entries for transactions. (If no entry is required for a particular transaction/event, select "No Jou Required" in the first account field.) Credit No 1 Date Nov 05 Debit 1,360,000 General Journal Cash Common Stock Additional Paid-in Capital 136,000 1,224,000 2 Nov 16 448,800 Treasury Stock Cash 448,800 Nov 24 258,400 Cash Treasury Stock Additional Paid-in Capital 250,800 7,600 Dec 01 15,000 Dividends Dividends Payable 15,000 ooooooooooooooo Dec 20 15,000 Dividends Payable Cash 15,000 Dec 30 890,000 Buildings Cash 890,000 Dec 31 No Journal Entry Required Dec 31 No Journal Entry Required Dec 31 15,000 Retained Earnings Dividends 15,000