Tallaposa Corporation issued 4,000 shares of its $20 par value common stock for some land.The land had a fair market value of $120,000.
Prepare the entries in journal form necessary to record the stock issue for the land under each of the following conditions:
a.The stock was selling for $28 per share on the day of the transaction.
b.Management attempted to place a market value on the common stock but could not do so.

Question

Tallaposa Corporation issued 4,000 shares of its $20 par value common stock for some land.The land had a fair market value of $120,000.
Prepare the entries in journal form necessary to record the stock issue for the land under each of the following conditions: 
a.The stock was selling for $28 per share on the day of the transaction.
b.Management attempted to place a market value on the common stock but could not do so.

Quizplus · Accepted Answer

The Answer of Tallaposa Corporation issued 4,000 shares of its $20 par value common stock for some land.The land had a fair market value of $120,000.
Prepare the entries in journal form necessary to record the stock issue for the land under each of the following conditions: 
a.The stock was selling for $28 per share on the day of the transaction.
b.Management attempted to place a market value on the common stock but could not do so.

Tallaposa Corporation Issued 4,000 Shares of Its $20 Par Value