Ask Question
BusinessBusiness
3 May, 18:34

Prepare the journal entry to record Zende Company's issuance of 66,000 shares of $5 par value common stock assuming the shares sell for: $5 cash per share. $6 cash per share.

+1
Answers (1)
  1. 3 May, 19:04
    0
    The journal entry to record Zende Company's issuance of 66,000 shares of $5 par value common stock assuming the shares sell for $5 cash per share would be

    Debit Credit

    Cash $330,000

    Common stock $330,000

    The journal entry to record Zende Company's issuance of 66,000 shares of $5 par value common stock assuming the shares sell for $6 cash per share would be

    Debit Credit

    Cash $396,000

    Common stock $330,000

    Paid in capital in excess of par value $66,000

    Explanation:

    The journal entry to record Zende Company's issuance of 66,000 shares of $5 par value common stock assuming the shares sell for $5 cash per share would be as follows:

    Debit Credit

    Cash $330,000

    Common stock $330,000

    Par values of the share of common stock=$66,000*5

    Par values of the share of common stock=$330,000

    The journal entry would be prepared by debiting cash and crediting common stock by $330,000

    The journal entry to record Zende Company's issuance of 66,000 shares of $5 par value common stock assuming the shares sell for $6 cash per share would be as follows:

    Debit Credit

    Cash $396,000

    Common stock $330,000

    Paid in capital in excess of par value $66,000

    cash=66,000*$6

    cash=$396,000

    Common stock=$66,000*5=$330,000

    Paid in capital in excess of par value=$396,000-$330,000=$66,000
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Prepare the journal entry to record Zende Company's issuance of 66,000 shares of $5 par value common stock assuming the shares sell for: $5 ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Scott says about his employees, "They might not always make the choice that I would make. Sometimes they make a better one." From this statement, you can infer that Barcelona is: a. A centralized organization b.
Answers (1)
On November 23, Elder Lift Corporation, a wholesaler of hydraulic lifts, acquired land in exchange for 14,200 shares of $25 par common stock with a current market price of $34. Journalize the entry to record the transaction.
Answers (2)
What are the actions an auditor would take if the management refuses to provide a letter of representation?
Answers (1)
Harold's boss has just told him that he will be moved to a new office in order to allow space for a new copier for the office. harold is very unhappy with the prospect of having to pack up all his things and then reorganize them in his new area.
Answers (1)
Sports teach important lessons in leadership, teamwork, and sportsmanship. how have you embodied these qualities on your team and in your community?
Answers (1)
New Questions in Business
For February, sales revenue is $700,000; sales commissions are 5% of sales; the sales manager's salary is $96,000; advertising expenses are $90,000; shipping expenses total 2% of sales;
Answers (1)
Steven is going to purchase two stocks to form the initial holdings in his portfolio. Iron stock has an expected return of 25 percent, while Copper stock has an expected return of 19 percent.
Answers (1)
Continuous quality improvement depends heavily upon: Select one: a. hard work b. monitoring special causes of variance c. use of checklists d. employment of the PDCA cycle
Answers (1)
The difficulty in cost-benefit analysis is that the benefits are usually evident and easily measurable, while the costs are not always evident or measurable. A) True B) False
Answers (1)
What's the difference between price skimming and price penetration strategies?
Answers (1)
Home » Business » Prepare the journal entry to record Zende Company's issuance of 66,000 shares of $5 par value common stock assuming the shares sell for: $5 cash per share. $6 cash per share.
Sign Up Forgot Password?