Prepare journal entries to record the following transactions that occurred during the first 2 months of operations:
$\begin{array}{|l|l|}
\hline \text { Jan-10 } & \text { Sold } 95,000 \text { common shares for } \$ 8 \text { per share cash. } \
\hline 15 & \begin{array}{l}
\text { Exchanged 3,000 preferred shares for equipment with a fair market value of } \
\$ 45,000
\end{array} \
\hline \text { Feb-01 } & \begin{array}{l}
\text { Exchanged } 500 \text { preferred shares for legal fees incurred during organization } \
\text { worth } \$ 6,000 .
\end{array} \
\hline
\end{array}$

Question

Prepare journal entries to record the following transactions that occurred during the first 2 months of operations:
 $\begin{array}{|l|l|}
\hline \text { Jan-10 } & \text { Sold } 95,000 \text { common shares for } \$ 8 \text { per share cash. } \
\hline 15 & \begin{array}{l}
\text { Exchanged 3,000 preferred shares for equipment with a fair market value of } \
\$ 45,000
\end{array} \
\hline \text { Feb-01 } & \begin{array}{l}
\text { Exchanged } 500 \text { preferred shares for legal fees incurred during organization } \
\text { worth } \$ 6,000 .
\end{array} \
\hline
\end{array}$

Quizplus · Accepted Answer

The Answer of Prepare journal entries to record the following transactions that occurred during the first 2 months of operations:
 $\begin{array}{|l|l|}
\hline \text { Jan-10 } & \text { Sold } 95,000 \text { common shares for } \$ 8 \text { per share cash. } \
\hline 15 & \begin{array}{l}
\text { Exchanged 3,000 preferred shares for equipment with a fair market value of } \
\$ 45,000
\end{array} \
\hline \text { Feb-01 } & \begin{array}{l}
\text { Exchanged } 500 \text { preferred shares for legal fees incurred during organization } \
\text { worth } \$ 6,000 .
\end{array} \
\hline
\end{array}$

Prepare Journal Entries to Record the Following Transactions That Occurred