Wheeler Corporation was authorized to issue 100,000 shares of $6 par common stock.During 2016 Wheeler issued 20,000 shares at a market price of $9 per share.On December 1,2016 Wheeler declared a cash dividend of $1.25 per share payable on December 30 to stockholders of record as of December 15.
Required: a)Prepare the journal entry for the issuance of the 20,000 shares of stock.Assume an issue date of June 30,2016.
b)Prepare the journal entries necessary on the dividend:
(1)declaration date.
(2)date of record.
(3)payment date.

Question

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The Answer of Wheeler Corporation was authorized to issue 100,000 shares of $6 par common stock.During 2016 Wheeler issued 20,000 shares at a market price of $9 per share.On December 1,2016 Wheeler declared a cash dividend of $1.25 per share payable on December 30 to stockholders of record as of December 15.
Required: a)Prepare the journal entry for the issuance of the 20,000 shares of stock.Assume an issue date of June 30,2016.
b)Prepare the journal entries necessary on the dividend:
(1)declaration date.
(2)date of record.
(3)payment date.

Wheeler Corporation Was Authorized to Issue 100,000 Shares of $6