Mercury Corporation issued 5,500 shares of no-par common stock for $15 per share. Mercury also issued 1,600 shares of $55 par, 6 percent noncumulative preferred stock at $65 per share. Required Record these events in a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Mercury Corporation issued 5,500 shares of no-par common stock for $15 per share. Mercury also issued 1,600 shares of $55 par, 6
percent noncumulative preferred stock at $65 per share.
Required
Record these events in a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA),
investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank.
MERCURY CORPORATION
Horizontal Statements Model
Balance Sheet
Income Statement
Statement of Cash
Flow
Assets
Stockholders' Equity
Revenue
Expense
Net Income
Event
Preferred
Common
PIC in
Cash
Stock
Stock
Excess
1 - Issue of CS
2 - Issue of PSs
Transcribed Image Text:Mercury Corporation issued 5,500 shares of no-par common stock for $15 per share. Mercury also issued 1,600 shares of $55 par, 6 percent noncumulative preferred stock at $65 per share. Required Record these events in a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank. MERCURY CORPORATION Horizontal Statements Model Balance Sheet Income Statement Statement of Cash Flow Assets Stockholders' Equity Revenue Expense Net Income Event Preferred Common PIC in Cash Stock Stock Excess 1 - Issue of CS 2 - Issue of PSs
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