- QI- State 2 reasons why it is necessary to prepare financial statements at regular intervals

Osage Corporation issued 3,700 shares of stock. Prepare the entry for the issuance under the following assumptions. (Credit acco

Elden [556K]

Answer:

JOURNAL ENTRY

Dr. Cash..................58,000

Cr. Common Stock....................33,300

Cr. Additional Paid in Capital..24,700

Being issuance of 3,700 shares of common stock at par value of $9 per share, with premium

Explanation:

(a) The stock had a par value of $9 per share and was issued for a total of $58,000.

JOURNAL ENTRY

Dr. Cash..................58,000

Cr. Common Stock....................33,300

Cr. Additional Paid in Capital..24,700

Being issuance of 3,700 shares of common stock at par value of $9 per share, with premium

(b) The stock had a stated value of $9 per share and was issued for a total of $58,000.

JOURNAL ENTRY

Dr. Cash..................58,000

Cr. Common Stock....................33,300

Cr. Additional Paid in Capital..24,700

Being issuance of 3,700 shares of common stock at par value of $9 per share, with premium

(c) The stock had no par or stated value and was issued for a total of $58,000.

JOURNAL ENTRY

Dr. Cash..................58,000

Cr. Common Stock............58,000

Being issuance of 3700 common stock with no stated value per share

(d) The stock had a par value of $9 per share and was issued to attorneys for services during incorporation valued at $58,000.

JOURNAL ENTRY

Dr. Service fees..................58,000

Cr. Common Stock.........................33,300

Cr. Additional Paid In capital........24,700

Being issuance of 3,700 shares of common stock at par value of $9 per share, with premium; for attorney fees

(e) The stock had a par value of $9 per share and was issued for land worth $58,000.

JOURNAL ENTRY

Dr. Service fees..................58,000

Cr. Common Stock.........................33,300

Cr. Additional Paid In capital........24,700

Being issuance of 3,700 shares of common stock at par value of $9 per share, with premium; for acquisition of land.

7 0

3 years ago

Prince electronics, a manufacturer of consumer electronic goods, has five distribution centers in different regions of the cou

marin [14]

Answer:

$378,000

Explanation:

average weekly demand 70 per distribution center

average shipment size to each distribution center is 450

average lead time 3 weeks

each distribution center has a 3 week safety stock

pipeline inventory: average lead time x average demand per distribution center x average price of each modem x number of distribution centers = 3 weeks x 70 units x $360 x 5 = $378,000

pipeline inventory in transit = $378,000

The pipeline inventory represents the minimum average that the company needs to have to at least meet the weekly demand for its product.

7 0

3 years ago

Leigh has three children but has not written her will which danger will she more than likely face if she dies without a will?

labwork [276]

Her children will not inherit any of her assets

4 0

3 years ago

What is global economy

AURORKA [14]

The term “Global Economy” is a term that refers to all of the economies of the world.

Sometimes this phrase is also used to discuss the international economy, or all economies around the world, and refers to how interdependent different countries economies are on each other.

7 0

3 years ago

On December 16, 2015, B. Darin Company received $5,000 from S. Dee Company for rent of an office owned by B. Darin Company. The

WITCHER [35]

Explanation:

The journal entry is shown below:

Unearned rent revenue Dr $1,250

To Rent revenue $1,250

(Being the unearned rent revenue is recorded)

The computation is shown below:

= Received amount ÷ number of months × given number of months

= $5,000 ÷ 2 months × 0.5 months

= $1,250

So it include a debit to unearned rent revenue for $1,250 and credit the rent revenue for $1,250

4 0

3 years ago