Reference no: EM133166054

Question - XYZ Corp received its charter in January 2020, allowing it to issue 200,000 ordinary shares with a par value of Php30 and 100,000 preference shares with a par value of Php20. In January, the following transactions were completed:

January 3 - Received from Michael Finn subscriptions to 1,000 ordinary shares and 1,000 preference shares, both at par. Received 20% down payment.

January 4 - Sold for cash 1,000 ordinary shares at par.

January 6 - Received from Chris Taylor a subscription to 2,000 ordinary shares at Php31 and 1,000 preference shares at Php22. Received 25% down payment.

January 10 - Received office equipment with a fair value of Php31,000 from an investor for 1,000 ordinary shares.

January 12 - Issued 1,000 ordinary shares and 1,000 preference shares to the corporate promoter for services rendered during the incorporation.

January 14 - Received subscription to 2,500 ordinary shares at Php31 and 1,500 preference shares at Php22 per share.

January 16 - Received one-half of the balance of the account of Chris Taylor.

January 20 - Sold for cash 500 ordinary shares at Php32 per share and 500 preference shares at Php22 per share.

January 24 - Michael Finn failed to pay his account. His subscriptions were declared delinquent and sold at public auction.

January 25 - Paid Php12,000 for advertising the delinquent subscription of Michael Finn.

January 26 - Bella Hydes, the highest bidder, agreed to pay the balance of the subscription plus Php12,000 spent on advertising.

January 27 - Chris Taylor paid in full the balance of his account and was issued the corresponding shares.

Required - Make journal entries using two methods of recording share transactions. (Memorandum Entry Method and Journal Entry Method).