Ask Question
19 January, 03:24

Prepare the journal entry to record Autumn Company's issuance of 74,000 shares of no-par value common stock assuming the shares: Sell for $28 cash per share. Are exchanged for land valued at $2,072,000.

+3
Answers (1)
  1. 19 January, 06:57
    0
    Journal entry:

    Debit land Account with $2,072,000

    Credit common stock Account with $2,072,000

    (Being sale of 74,000 shares in exchange for land valued at the selling price of shares)

    Explanation:

    Autumn Company

    74,000 shares at $28 = $2,072,000

    Instead of being paid cash for the sale of shares, land was the consideration for the sale

    Journal entry:

    Debit land Account with $2,072,000

    Credit common stock Account with $2,072,000

    (Being sale of 74,000 shares in exchange for land valued at the selling price of shares)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Prepare the journal entry to record Autumn Company's issuance of 74,000 shares of no-par value common stock assuming the shares: Sell for ...” 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