Accounting 2

hho9e_p12_29a_eip_stud.xls

P12-29A


Accounting, 9e
P12-29A	Journalizing corporate transactions and preparing the stockholders' equity section of the balance sheet
LO 3 [20-25 minutes]
		Students please fill-in areas that are shaded
Student Name
Course Name
Student ID:
Date:
B-Mobile Wireless needed additional capital to expand, so the business incorporated.
The charter from the state of Georgia authorizes B-Mobile to issue 70,000 shares
of 5%, $100-par preferred stock, and 110,000 shares of no-par common stock.
B-Mobile completed the following transactions:
Oct 2	Issued 19,000 shares of common stock for equipment with a market value
	of $110,000.
6	Issued 800 shares of preferred stock to acquire a patent with a market
	value of $80,000.
9	Issued 15,000 shares of common stock for cash of $90,000.
Requirements
1.	Record the transactions in the general journal.
2.	Prepare the stockholders’ equity section of the B-Mobile balance sheet at
	October 31. The ending balance of Retained earnings is $92,000.
Test Your Knowledge
P12-29A
Req. 1
Journal
DATE	ACCOUNTS AND EXPLANATIONS		DEBIT	CREDIT
Oct 2
	Issued common stock to acquire equipment.
6
	Issued preferred stock to acquire patent.
9
	Issued common stock.
Req. 2
	B-Mobile Wireless
	Stockholders' Equity
	Paid-in capital:
	Total paid-in capital
	Retained earnings
	Total stockholder's equity		$ - 0

&Lstudent name goes here&Rdate turned in goes here

Print Test Your Knowledge