Answer:
May 10 Land (3,600 shares × $28) 100,800
Common Stock (3,600 shares × $4) 14,400
Paid-In Capital in Excess of Par—
Common Stock [3,600 shares × ($28 – $4)] 86,400
EX 13-5 Issuing stock for assets other than cash
On May 10, First Lift Corporation, a wholesaler of hydraulic lifts, acquired land in exchange for 3,600 shares of $4 par common stock with a current market price of $28. Journalize the entry to record the transaction.
Answer:
May 10 Land (3,600 shares × $28) 100,800
Common Stock (3,600 shares × $4) 14,400
Paid-In Capital in Excess of Par—
Common Stock [3,600 shares × ($28 – $4)] 86,400
Answer:
May 10 Land (3,600 shares × $28) 100,800
Common Stock (3,600 shares × $4) 14,400
Paid-In Capital in Excess of Par—
Common Stock [3,600 shares × ($28 – $4)] 86,400