Question - Tran Corporation is authorized to issue both preferred and common stock. The par value of the preferred is $50. During the first year of operations, the company had the following events and transactions pertaining to its preferred stock.
Feb.1Issued 20,000 shares for cash at $53 per share.July1Issued 12,000 shares for cash at $57 per share.
Instructions
(a) Journalize the transactions.
(b) Post to the stockholders' equity accounts.
(c) Indicate the financial statement presentation of the related accounts.
Prepare correct entries for capital stock transactions.