Question

Bramble Co. had the following transactions during the current period.

Mar.	2		Issued 4,700 shares of $4 par value common stock to attorneys in payment of a bill for $23,100 for services performed in helping the company to incorporate.
June	12		Issued 56,700 shares of $4 par value common stock for cash of $298,600.
July	11		Issued 2,900 shares of $110 par value preferred stock for cash at $130 per share.
Nov.	28		Purchased 2,260 shares of treasury stock for $77,500.

Date	Account Titles and Explanation	Debit	Credit
Mar. 2June 12July 11Nov. 28
Mar. 2June 12July 11Nov. 28
Mar. 2June 12July 11Nov. 28
Mar. 2June 12July 11Nov. 28

Answer 1

Answer: Date Account Titles and Explanations Debit Credit 2-Mar Cash $23,100 $18,800 Common Stock (4700 * $4) Additional paid in capital- common stock ($23100 - $ 18800) $4,300 (issue of common stock to attorneys) 12-Jun Cash $298,600 $226,800 Common Stock (56700 * $4) Additional paid incapital-common stock ($298600 - $226800) $71,800 (issue of common stock for cash) 11-Jul Cash (2900 * $130) $377,000 $319,000 Preferred stock (2900 * $110) Additional paid incapital- Preferredstock (2900 * $20) $58,000 $77,500 (issue of preference stock for cash) 28-Nov Treasury stock Cash (Purchase of treasury stock) $77,500