Question

On January 2, Carlton, Inc., issued 100 shares of $10 par value common stock for cash of $10 per share. Complete the necessary journal entry by selecting the account names from the drop-down menus and entering the dollar amounts in the debit or credit columns.

Answer 1

Answer:Cash 1000 Debit

Common stock,$10 per value 1000Credit

Step-by-step explanation:

Answer 2

Step-by-step explanation:

The journal entry to record the issuance of common stock is shown below:

Cash A/c Dr $1,000 (100 shares × $10)

To Common Stock $1,000 (100 shares × $10)

(Being the issuance of stock is recorded)

While issuing the stock, we debited the cash account and credited the common stock so that the correct posting can be done