A company is authorized to issue 750,000 shares of $2 par value common stock. Prepare journal entries to record the following selected transactions that occurred during the company's first year of operations: Jan. 10Sold 102,000 shares of common stock for $8 cash per share. 15Exchanged 10,000 shares of common stock for equipment with a market value of $70,000.Feb. 1Exchanged 500 shares of common stock for $3,000 of legal services incurred during the company's organization.
What will be an ideal response?
| Jan. 10 | Cash (102,000 * $8) ………….………….…… | 816,000 | ? |
| ? | Common Stock (102,000 * $2) | ? | 204,000 |
| ? | Paid-in Capital in Excess of Par Value, Common Stock | ? | 612,000 |
| ? | ? | ? | ? |
| 15 | Equipment ………….………….………….… | 70,000 | ? |
| ? | Common Stock (10,000 * $2) …………. | ? | 20,000 |
| ? | Paid-in Capital in Excess of Par Value, Common Stock | ? | 50,000 |
| ? | ? | ? | ? |
| Feb. 1 | Organization Expenses ………….………….… | 3,000 | ? |
| ? | Common Stock (500 * $2) | ? | 1,000 |
| ? | Paid-in Capital in Excess of Par Value, Common Stock | ? | 2,000 |
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