Stock Transactions The following events occurred in 2021 for Rosemary Inc. Nov. 1 Submitted articles of incorporation to the state government. Nov. 15 Application approved by state. The corporate charter authorizes 50,000, $10 12% preferred stock and 1,000,000 shares of $0.50 par value common stock. Nov. 18 Issue 20,000 shares of common stock at $0.50 per share. Issue 30,000 shares of common stock at $2 per share. Nov. 25 Dec. 1 Repurchased 15,000 shares of common stock when the market price was $1 per share. Dec. 5 Dec. 25 Resold 4,000 shares of the reacquired stock when the market price was $1.50 per share. Resold 5,000 shares of the reacquired stock when the market price was $0.25 per share. Requirements 1.) Prepare the journal entries to record the events in November and December.
Stock Transactions The following events occurred in 2021 for Rosemary Inc. Nov. 1 Submitted articles of incorporation to the state government. Nov. 15 Application approved by state. The corporate charter authorizes 50,000, $10 12% preferred stock and 1,000,000 shares of $0.50 par value common stock. Nov. 18 Issue 20,000 shares of common stock at $0.50 per share. Issue 30,000 shares of common stock at $2 per share. Nov. 25 Dec. 1 Repurchased 15,000 shares of common stock when the market price was $1 per share. Dec. 5 Dec. 25 Resold 4,000 shares of the reacquired stock when the market price was $1.50 per share. Resold 5,000 shares of the reacquired stock when the market price was $0.25 per share. Requirements 1.) Prepare the journal entries to record the events in November and December.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Chapter+14_Rosemary+Inc_72222
Stock Transactions
The following events occurred in 2021 for Rosemary Inc.
Nov. 1
Submitted articles of incorporation to the state
government.
Nov. 15
Application approved by state. The corporate charter
authorizes 50,000, $10 12% preferred stock and 1,000,000
shares of $0.50 par value common stock.
Nov. 18
Issue 20,000 shares of common stock at $0.50 per share.
Issue 30,000 shares of common stock at $2 per share.
Nov. 25
Dec. 1
Repurchased 15,000 shares of common stock when the
market price was $1 per share.
Dec. 5
Dec. 25
Done
Resold 4,000 shares of the reacquired stock when the market
price was $1.50 per share.
Resold 5,000 shares of the reacquired stock when the market
price was $0.25 per share.
Requirements
1.) Prepare the journal entries to record the events in November and
December.
Date Accounts & Explanations Debit Credit
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