Question - DeLong Corporation was organized on January 1, 2017. It is authorized to issue 10,000 shares of 8%, $100 par value preferred stock, and 500,000 shares of no-par common stock with a stated value of $2 per share. The following stock transactions were completed during the first year.
Jan.10 Issued 80,000 shares of common stock for cash at $4 per share.Mar.1Issued 5,000 shares of preferred stock for cash at $105 per share.Apr.1Issued 24,000 shares of common stock for land. The asking price of the land was $90,000. The fair value of the land was $85,000.May1Issued 80,000 shares of common stock for cash at $4.5 per share.Aug.1Issued 10,000 shares of common stock to attorneys in payment of their bill of $30,000 for services performed in helping the company organize.
Sept.1 Issued 10,000 shares of common stock for cash at $5 per share.Nov.1Issued 1,000 shares of preferred stock for cash at $109 per share.
Post to the stockholders equity accounts.