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ACC 557 Week 7 Chapter 11 E11 7 E11 13

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WEEK 7
NOTE: REFER TO THE SCREENSHOT ON HOW TO FILL IN. ALSO TO VIEW WHAT IS IN THE ANSWER BOX CLICK ON THE BOX
EXERCISE 11-7

Mar. 2 Organization Expense 38,000 Common Stock (5,000 X $1) 5,000 Paid-in Capital in Excess of Par —Common Stock 33,000

June 12 Cash 475,000 Common Stock (60,000 X $1) 60,000 Paid-in Capital in Excess of Par —Common Stock 415,000

July 11 Cash (1,000 X $110) 110,000 Preferred Stock (1,000 X $100) 100,000 Paid-in Capital in Excess of Par Value—Preferred Stock (1,000 X $10) 10,000

Nov. 28 Treasury Stock 18,000 Cash 18,000

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Exercise 11-7

Your answer is correct.

Fallow Co. had the following transactions during the current …show more content…

ALSO TO VIEW WHAT IS IN THE ANSWER BOX CLICK ON THE BOX

(a) Feb. 1 Cash 120,000 Common Stock (25,000 X $1) 25,000 Paid-in Capital in Excess of Stated Value—Common Stock ($120,000 – $25,000) 95,000

Apr. 14 Cash 46,000 Paid-in Capital from Treasury Stock ($46,000 – $22,500) 23,500 Treasury Stock (9,000 X $2.50) 22,500

Sept. 3 Patents 42,000 Common Stock (7,000 X $1) 7,000 Paid-in Capital in Excess of Stated Value—Common Stock ($42,000 – $7,000) 35,000

Nov. 10 Treasury Stock 6,000 Cash 6,000

Dec. 31 Income Summary 452,000 Retained Earnings 452,000

(b)

Preferred Stock
Date

Explanation

Ref.

Debit

Credit

Balance
Jan. 1

Balance



400,000

Common Stock
Date

Explanation

Ref.

Debit

Credit

Balance
Jan. 1
Feb. 1
Sept. 3

Balance


J5
J5

25,000 7,000

1,000,000
1,025,000
1,032,000

PROBLEM 11-3A (Continued)

Paid-in Capital in Excess of Par—Preferred Stock
Date

Explanation

Ref.

Debit

Credit

Balance
Jan. 1

Balance



100,000

Paid-in Capital in Excess of Stated Value—Common Stock
Date

Explanation

Ref.

Debit

Credit

Balance
Jan. 1
Feb. 1
Sept. 3

Balance


J5
J5

95,000 35,000

1,450,000
1,545,000
1,580,000

Paid-in Capital from Treasury Stock
Date

Explanation

Ref.

Debit

Credit

Balance
Apr. 14

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