Question

P13-41A (similar to) Question Help A-Mobile Wireless needed additional capital to expand, so the business incorporated The charter from the state of Georgia authorizes A-Mobile to issue 80,000 shares of 8 %, $50 par value cumulative preferred stock and 160,000 shares of $4 par value common stock. During the first month, A-Mobile completed the following transactions: (Click the icon to view the transactions) Read the requirements Date Accounts and Explanation Debit Credit Oct. 9 Cash 85,000 Common Stock-$4 Par Value 68,000 Paid-In Capital in Excess of Par-Common 17,000 Issued common stock for cash Oct. 10: Declared a $14,000 cash dividend for stockholders of record on Oct. 20. Use a separate Dividends Payable account for preferred and common stock Inc Accounts and Explanation Debit Credit Date 14.000 843/15 Oct. 10 Cash Dividends Dividends Payable-Common Dividends Payable Preferred Declared cash dividend Choose from any list or enter any number in the input fields and then click Check Answer Check Answer Clear All parts remaining 2 javascript:doExercise(6) P

Answer 1

1.

Date	Account Title	Debit	Credit
2-Oct	Building	$         210,000.00
	common stock [25000*$4]		$        100,000.00
	paid in capital in excess of par- common stock		$        110,000.00
6-Oct	cash [950*110]	$         104,500.00
	preferred stock [950*50]		$          47,500.00
	paid in capital in excess of par-preferred stock		$          57,000.00
9-Oct	cash	$           85,000.00
	common stock [17000*4]		$          68,000.00
	paid in capital in excess of par- common stock		$          17,000.00
10-Oct	cash dividend	$           14,000.00
	preferred dividend payable [$47500*.08]		$            3,800.00
	common stock dividend payable		$          10,200.00
25-Oct	preferred dividend payable	$              3,800.00
	common stock dividend payable	$           10,200.00
	cash		$          14,000.00