Answer :
Answer:
Following are the journal entries to this question:
Explanation:
Date account title Dr. Cr.
Mar.2 Incorporation expense [tex]\$39,600[/tex]
Common Stock (Par value[tex]=5000 \ Shares \times 7[/tex]) [tex]\$35,000[/tex]
Paid in excess of par- Common Stock [tex](39600-35000)[/tex] [tex]\$4,600[/tex]
(Bein 5000 common shares Of par value [tex]\$4[/tex] each issued )
June. 12 Cash [tex]\$519,100[/tex]
Common Stock (Par value [tex]-63400\ Shares \times 7[/tex]) [tex]\$443,800[/tex]
Paid in excess of par- common stock [tex](519100-443800)[/tex] [tex]\$75,300[/tex] (Being 63400 common shares of par value [tex]\$7[/tex] each issued for [tex]\$519100[/tex] cash)
July-11 cash [tex]2175\ shares\times \$130[/tex] [tex]\$282,750[/tex]
Preferred Stock (Par value [tex]=2175\ Shares \times \$110[/tex]) [tex]\$239,250[/tex]
Paid in excess of par- Preferred stock [tex](282750- 239250)[/tex] (Being 2175 Prefered shares of par value [tex]\$110[/tex] each issued for [tex]\$130[/tex] each)
Nov. 28 Treasury Stock [tex]\$83,500[/tex]
cash [tex]\$83,500[/tex]
(Purchased 2,350 shares of treasury stock for[tex]\$83,500[/tex] ).