What is the total amount invested

Assignment Help Accounting Basics
Reference no: EM131581959

Question - On May 15, Helena Carpet Inc., a carpet wholesaler, issued for cash 729,000 shares of no-par common stock (with a stated value of $1.40) at $3.70, and on June 30, it issued for cash 22,500 shares of preferred stock, $50 par at $61.

Required:

A. Journalize the entries for May 15 and June 30, assuming that the common stock is to be credited with the stated value. Refer to the Chart of Accounts for exact wording of account titles.

B. What is the total amount invested (total paid-in capital) by all stockholders as of June 30?

CHART OF ACCOUNTS - Helena Carpet Inc.General Ledger

ASSETS

  • 110Cash
  • 120 Accounts Receivable
  • 131 Notes Receivable
  • 132 Interest Receivable
  • 141 Merchandise Inventory
  • 145 Office Supplies
  • 151 Prepaid Insurance
  • 181 Land
  • 193 Equipment
  • 194 Accumulated Depreciation-Equipment

LIABILITIES

  • 210 Accounts Payable
  • 221 Notes Payable
  • 226 Interest Payable
  • 231 Cash Dividends Payable
  • 236 Stock Dividends Distributable
  • 241 Salaries Payable
  • 261 Mortgage Note Payable

EQUITY

  • 311 Common Stock
  • 313 Paid-In Capital in Excess of Stated Value-Common Stock
  • 315 Treasury Stock
  • 321 Preferred Stock
  • 322 Paid-In Capital in Excess of Par-Preferred Stock
  • 331 Paid-In Capital from Sale of Treasury Stock
  • 340 Retained Earnings
  • 351 Cash Dividends
  • 352 Stock Dividends
  • 390 Income Summary

REVENUE

  • 410 Sales
  • 610 Interest Revenue

EXPENSES

  • 510 Cost of Merchandise Sold
  • 515 Credit Card Expense
  • 520 Salaries Expense
  • 531 Advertising Expense
  • 532 Delivery Expense
  • 533 Selling Expenses
  • 534 Rent Expense
  • 535 Insurance Expense
  • 536 Office Supplies Expense
  • 537 Organizational Expenses
  • 562 Depreciation Expense-Equipment
  • 590 Miscellaneous Expense
  • 710 Interest Expense

Reference no: EM131581959

Questions Cloud

For the success of the sourcing team : For the success of the sourcing team, goal setting is very important. Comment on the statement. Also, comment on the team leader's role in setting those goals.
Define legislative outcomes in the field of criminal justice : What are the most important factors to consider when preparing research findings
Excitation of a synchronous induction motor : What will be the value of input power if the load remains constant and the excitation - Identify which method of excitation is most commonly used in machines
Market success of prodcts-services : How does an organisational structure contribute to the marketability and the market success of prodcts/services? Explain your answer.
What is the total amount invested : Journalize the entries for May 15 and June 30, assuming that the common stock is to be credited with the stated value
What is the growth rate of nominal gdp : Suppose an extremely simple economy produces only two goods, pillows and rugs. In the first year, 50 pillows are produced and sold at $5 each.
Calculate a constant-weight price index : Assume the same simple economy described in the previous question.
Describe the possible interactions including plans : Describe the possible interactions and involvement of each organization. Include in your discussion specific plans, systems
Determine the earnings per share : Financial statement data for the years ended December 31 for Dovetail Corporation follows: Determine the earnings per share for 2016 and 2015

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd