Question

Corporation has two classes of​ stock: common, ​$4 par​ value; and​ preferred, ​$5 par value. Requirements 1. Journalize Maine​'s issuance of 1 comma 500 shares of common stock for $ 12 per share. 2. Journalize Maine​'s issuance of 1 comma 500 shares of preferred stock for a total of $ 7 comma 500.

Answer 1

The answer is given below;

Step-by-step explanation:

1. Bank (1,500*12) Dr.$18,000

Capital (1,500*4) Cr.$ 6,000

Paid in capital in excess of par (1500*(12-4)) Cr.$12,000

2. Bank Dr.$7,500

Capital (1,500*5) Cr.7,500