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urgent needed Earth Star Diamonds Inc, began a potentially lucrative mining operation on October 1,2023 . It is authorized to issue 100,000 shares of $0.60
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Earth Star Diamonds Inc, began a potentially lucrative mining operation on October 1,2023 . It is authorized to issue 100,000 shares of $0.60 cumulative preferred shares and 500,000 common shares. The company uses the cash dividends account to keep track of all dividends declared. Part A Required: Prepare journal entries for each of the transactions listed. oct. 1 Issued for cash, 1,090 shares of the preferred shares at 84.90 each. 10. Issued for cash, 51,600 shares of the coenon shares at $3.78 per share. 15 Earth star purchased land for $187,000, paying cash of $66,509 and borrowing the balance from the bank (to be repaid in two years). 2015,500 preferred shares were issued today for total cash proceeds of $87,575. 24 In addition to the declaration of the annual dividend on the preferred shares, dividends of $26,890 were declared on the conon shares today, payable Novenber 15 , 2023. 31 Revenues of $910,000 were earned during the month; all cash. Expenses, all cash, totalling $305,000 were incurred in october. Close the Incone surmary and dividend Record the issue of preferred shares. Record the issue of common shares. Record the purchase of land in exchange for cash and a note. Record the issue of preferred shares for cash. Record the dividends declared on common and preferred shares. Record the revenues earned. Record the expenses incurred. Record the issue of preferred shares for cash. Record the dividends declared on common and preferred shares. Record the revenues earned. Record the expenses incurred. Record to close the income summary account. Record to close the cash dividends account, assuming Retained Earnings was not debited directly when dividends were declared. Note : = journal entry has been entered Required: Based on the transactions in Part A, prepare the balance sheet as at October 31, 2023 Step by Step Solution
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