Question

On Sept. 1, Paddington, Inc., issued 1,000 shares of $10 stated 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

Sept 01

DR Cash $10,000

CR Common Stock $10 Stated Value $10,000

(To record issuing of Common Stock at $10 Stated Value)

Working

Cash

= 1,000 shares * $10

= $10,000