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Quay Co. had the following transactions during the current period. Mar. 2 Issued

ID: 2438287 • Letter: Q

Question

Quay Co. had the following transactions during the current period. Mar. 2 Issued 4,200 shares of $7 par value common stock to attorneys in payment of a bill for $33,700 for services performed in helping the company to incorporate June 12 Issued 59,900 shares of $7 par value common stock for cash of $496,200 July 11 Issued 2,550 shares of $120 par value preferred stock for cash at $130 per share Nov. 28 Purchased 3,350 shares of treasury stock for $80,500 ournalize the transactions. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit

Explanation / Answer

Journal Entries

date

explanation

debit

credit

2-Mar

Accounts payable (Attorney fee)

33700

common stock

29400

additional paid in capital

4300

12-Jun

cash

496200

common stock

419300

additional paid in capital

76900

11-Jul

cash

331500

preferred stock

306000

additional paid in capital-preferred stock

25500

28-Nov

treasury stock

80500

cash

80500

Journal Entries

date

explanation

debit

credit

2-Mar

Accounts payable (Attorney fee)

33700

common stock

29400

additional paid in capital

4300

12-Jun

cash

496200

common stock

419300

additional paid in capital

76900

11-Jul

cash

331500

preferred stock

306000

additional paid in capital-preferred stock

25500

28-Nov

treasury stock

80500

cash

80500