Problem 11-3A (Part Level Submission) The stockholders\' equity accounts of Pina
ID: 2571244 • Letter: P
Question
Problem 11-3A (Part Level Submission) The stockholders' equity accounts of Pina Colada Corp. on January 1, 2019, were as follows. S 425,000 1,450,000 100,000 Preremed Stock (896.50 par, cumulative, 10,000 shares authorized Common Stuck ($1 stated value, 2,050,000 shares authorized) Paid-in Cap tal in Excess or Par-Preferred Stock Paic-in Capital in Excess af Statad ValuC-Common Stock Retained Eernings Treasury Stock (1,0 camman sharas) 1,800,000 55,000 During 2019, the crcoration had the following tranisactions and events pertaining to its stackholders' equity. Feb. 1 Issued 26,000 shares of common stack for $120,000 Apr. 14 Sald 5,600 shares of treasury stock-comrnon for $33,400 Srpt. 3 Issued S,0D shares of cammon strck for a patent valued at $34,40. Nov. 10 Purchased 1,100 shares of common stock for the treasury at a cost of $6,200. Dec. 31 Determined that net income fer the year was $450,000 No dividends were declared during the year Your answer is partially correct. Try again. ournaliz the transactions and the closing entry for net incarme. (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.) Date Account Titles and Explanation Debit Credit 200001 2600 emmon Stoc in Capital in Excess of Stated Value-Conmon Stuc in Cepitel from Treasury Stoc Organizaton Expars emmon Stoc in Capitel in Excess of Stated Value-Commorn C. 31ncome Sum Attempts 5 of 5 usedExplanation / Answer
Ledger accounts:
Journal entries Date Account Title Debit Credit Feb.1 Cash 120000 Common stock 26000 Paid in capital in excessof stated value - common stock 94000 (To record issue of 26,000 shares of common stock for cash) Apr.14 Cash 33400 Treasury stock 28000 Paid in capital from treasry stock 5400 (To record sales of 5,600 shares of treasury stock ) Sep.3 Patent 34400 Common stock 5000 Paid in capital in excessof stated value - common stock 29400 (To record issue of 5,000 shares of common stock for patent) Nov.10 Treasury stock 6200 Cash 6200 (To record purchase of 1,100 shares of common stock) Dec.31 Income summary 450000 Retained earnings 450000 (To record income for the year )