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Issuance of Stock and Treasury Stock

Issuance of Stock and Treasury Stock
1). Alpaca Inc. issued 300,000 shares of no-par common stock at $15 per share. What is the journal entry to record this transaction?

2). Beluga Inc. issued 10,000 shares of $.02 par value common stock at $20 per share. For how much should the company credit its Additional Paid-in Capital account?

3). Emu Inc. reissued 8,000 shares of treasury stock at $44 per share. The stock, which has a par value of $.03, cost the company $30 per share two years ago. How much paid-in capital from treasury stock will the company have as a result of this transaction?

Solution Summary

Issuance of Stock and Treasury Stock
1). Alpaca Inc. issued 300,000 shares of no-par common stock at $15 per share. What is
the journal entry to record this transaction?

2). Beluga Inc. issued 10,000 shares of $.02 par value common stock at $20 per share. For how much should the company credit its Additional Paid in Capital account?

3). Emu Inc. reissued 8,000 shares of treasury stock at $44 per share. The stock, which has a par value of $.03, cost the company $30 per share two years ago. How much paid-in capital from treasury stock will the company have as a result of this transaction?

$2.19