Question

Rodriguez Corporation issues 19,000 shares of its common stock for $152,000 cash on February 20. Prepare journal entries to record this event under each of the following separate situations. 1. The stock has a $2 par value. 2. The stock has neither par nor stated value. 3. The stock has a $5 stated value. Answer is not complete. No Transaction General Journal Credit 1 1 Debit 152,000 Cash Common stock, $2 par value 3 152,000 2 2 152.000 Cash Common stock, no par value Paid-in capital in excess of stated value, common stock 19,000 3 114,000 3 3 152,000 Cash Common stock, 35 stated value Paid-in capital in excess of stated value, common stock O 95,000 67,000

Answer 1

A B С D E F G No Transaction Journal entry 1 1 Cash a/c Dr Common Stock (19000*2) paid in capital in excess of par value-Common Stock (Beaing issue common stock) Debit Credit 152000 38000 114000 2 152000 2 Cash Common Stock (19000*2) ( Beaing issue common stock ) 152000 3 152000 3 Cash Common Stock (19000*5) paid in capital in excess of given value-Common ( Beaing issue common stock) 95000 57000