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zvonat [6]
3 years ago
7

Riverbed Corporation issued 1,900 shares of $10 par value common stock upon conversion of 950 shares of $50 par value preferred

stock. The preferred stock was originally issued at $64 per share. The common stock is trading at $26 per share at the time of conversion.Record the conversion of the preferred stock.
Business
1 answer:
masya89 [10]3 years ago
8 0

Answer:

The answer is given below;

Explanation:

 Preference stocks  950*50    Dr.$47,500

 Paid in capital in excess of par-preference shares  Dr.$  13,300                                  

 (64-50)*950

  Common Stocks  1,900*10        Cr.$19,000

  Paid in capital in excess of par-common stocks    Cr.$41,800

   (64*950)-(1900*10)                                        

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In Method 2 use Tool in Texas:

By Using the (ICONV) worksheet:

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