Evon, a limited liability company, issued 1,000,000 ordinary shares of 25 cents each at a price of $1.10 per share, all received in cash. What should be the accounting entries to record this issue? A Debit: Cash $1,100,000 Credit: Share capital $250,000 Credit: Share premium $850,000 B Debit: Share capital $250,000 Debit: Share premium $850,000 Credit: Cash $1,100,000 C Debit: Cash $1,100,000 Credit: Share capital $1,100,000 D Debit: Cash $1,100,000 Credit: Share capital $250,000 Credit: Retained earnings $850,000

Evon, a limited liability company, issued 1,000,000 ordinary shares of 25 cents each at a price of $1.10 per share, all received in cash. What should be the accounting entries to record this issue? A Debit: Cash $1,100,000 Credit: Share capital $250,000 Credit: Share premium $850,000 B Debit: Share capital $250,000 Debit: Share premium $850,000 Credit: Cash $1,100,000 C Debit: Cash $1,100,000 Credit: Share capital $1,100,000 D Debit: Cash $1,100,000 Credit: Share capital $250,000 Credit: Retained earnings $850,000

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter20: Corporations: Organization And Capital Stock

Section: Chapter Questions

Problem 3CE: Prepare general journal entries for the following transactions of GOTE Company: (a) Received...

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C D B A Evon, a limited liability company, issued 1,000,000 ordinary shares each with a nominal value of 25 cents at a price of $1.10 per share, all received in cash. What should be the accounting entries to record this issue of shares? $1,100,000 $250,000 $850,000 Debit Cash Credit Share Capital Credit Share Premium Debit Share Capital Debit Share Premium Credit Cash Debit Cash Credit Share Capital Debit Cash Credit Share Capital Credit Retained Earnings $250,000 $850,000 $1,100,000 $1,100,000 $1,100,000 $1,100,000 $250,000 $850,000
ABC Corporation issues 5,000 ordinary shares with a $50 par value for cash at $55 per share. The entry to record the transaction will consist of a debit to Cash for $275,000 and a credit or credits to
Liberward, Inc., sold and issued 1,000 shares for $15 per share. The book value of the shares was $10 per share. The journal entry to record the share issue would include which of the following? A). A debit to Cash for $10,000. B). A credit to Common Shares for $10,000. C). A credit to Common Shares for $15,000. D). A credit to Cash for $15,000
The correct Journal entry needed to record the issue of 200,000 $1 shares at a premium of 30p, and paidfor by cheque, in full, would beA DEBIT share capital account $200,000CREDIT share premium account $60,000CREDIT bank account $140,000B DEBIT bank account $260,000CREDIT share capital account $200,000CREDIT share premium account $60,000C DEBIT share capital account $200,000CREDIT share premium account $60,000CREDIT bank account $260,000D DEBIT bank account $200,000DEBIT share premium account $60,000CREDIT share capital account $260,000
MJH Company issued 1000 shares of stock with a stated value of $10 per share for $17,000. The entry to journalize this would include: a credit to common stock of $10,000 a debit to common stock of $10,000 none of the above a credit to cash of $17,000
Gotham Inc. issued 10,000 shares of its $2 par value common stock for $25 per share. The journal entry to record this transaction should include the following: (check all that apply) Select one or more: a. debit "Common Stock" for $20,000. b. credit "Additional Paid-in Capital" for $250,000. c. debit "Cash" for $250,000. d. credit "Additional Paid-in Capital" for $230,000. e. credit "Common Stock" for $20,000. f. credit "Common Stock" for $250,000. g. credit "Additional Paid-in Capital" for $270,000.
The Blue Sea Co. issued 1,000 ordinary shares. Instructions: Prepare the entry for the issuance under the following assumptions: a. The shares had a par value of $5 per share and were issued for a total of $48,000. b. The shares had a stated value of $5 per share and were issued for a total of $48,000. c. The shares had no par or stated value and were issued for a total of $48,000. d. The shares had a par value of $5 per share and were issued to attorneys for services during incorporation valued at $48,000. e. The shares had a par value of $5 per share and were issued for land worth $48,000.
The charter of Zion Associates provides for the issuance of 100,000 shares of common stock. Assume that 60,000 shares were originally issued and 10,000 shares were subsequently reacquired. What is the amount of cash dividends to be paid if a $2-per-share dividend is declared? a. $80,000 b. $20,000 c. $90,000 d. $100,000 e. None of the above
National Spirit Inc. issues 270,000 common shares for $5 per share. The journal entry is: O A. O B. O C. O D. Cash Common Shares Cash Common Shares Accounts Cash Gain on the sale of Shares Accounts Accounts Cash Common Shares Accounts Common Shares Contributed Surplus on Common Shares Debit 1,350,000 Debit 1,350,000 Debit 270,000 Debit 1,350,000 Credit 1,350,000 Credit 270,000 1,080,000 Credit 270,000 Credit 540,000 810,000
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A company issues 1 million shares of common stock with a par value of $0.18 for $16.60 a share. The entry to record this transaction includes a debit to Cash for: Multiple Choice $16,600,000, a credit to Common Stock for $180,000, and a credit to Additional Paid-in Capital for $16,420,000. $16,600,000 and a credit to Common Stock for $16,600,000. $180,000, a debit to Capital Receivable for $16,420,000, a credit to Common Stock for $180,000, and a credit to Additional Paid-in Capital for $16,420,000. $180,000 and a credit to Common Stock for $180,000.
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