EXERCISE 15-1 (15-20 minutes) (a) Jan. 10 Cash (80,000 X 6) 480,000 Common Stock (80,000 X 5) 400,000 Paid-in Capital in Excess of Par 80,000 Mar. 1 Organization Expense 35,000 Common Stock (5,000 X 5) 25,000 Paid-in Capital in Excess of Par 10,000 (Note In the past, these costs would have been charged to Organization Costs) July 1 Cash (30,000 X 8) 240,000 Common Stock (30,000 X 5) 150,000 Paid-in Capital in Excess of Par 90,000 Sept. 1 Cash (60,000 X 10) 600,000 Common Stock (60,000 X 5) 300,000 Paid-in Capital in Excess of Par (60,000 X 5) 300,000 (b) Jan. 10 Cash (80,000 X 6) 480,000 Common Stock (80,000 X 3) 240,000 Paid-in Capital in Excess of Stated Value 240,000 Mar. 1 Organization Expense 35,000 Common Stock (5,000 X 3) 15,000 Paid-in Capital in Excess of Stated Value 20,000 July 1 Cash (30,000 X 8) 240,000 Common Stock (30,000 X 3) 90,000 Paid-in Capital in Excess of Stated Value 150,000 Sept. 1 Cash (60,000 X 10) 600,000 Common Stock (60,000 X 3) 180,000 Paid-in Capital in Excess of Stated Value 420,000 EXERCISE 15-2 (15-20 minutes) Jan. 10 Cash (80,000 X 5) 400,000 Common Stock (80,000 X 1) 80,000 Paid-in Capital Excess of SV Common 320,000 Mar. 1 Cash (5,000 X 108) 540,000 Preferred Stock (5,000 X 100) 500,000 Paid-in Capital in Excess of PV - Preferred 40,000 April 1 Land 80,000 Paid-in Capital in Excess of SV - Common 40,000 (In the past, these costs would have been charged to Organization Costs) Sept. 1 Cash (10,000 X 9) 90,000 Common Stock (10,000 X 1) 10,000 Paid-in Capital in Excess of SV - Common 80,000 Nov. 1 Cash (1,000 X 112) 112,000 Preferred Stock (1,000 X 100) 100,000 Paid-in Capital in Excess of PV - Preferred 12,000 EXERCISE 15-3 (10-15 minutes) (a) Land (62 X 25,000) 1,550,000 Treasury Stock (53 X 25,000) 1,325,000 Paid-in Capital from Treasury Stock 225,000 (b) One might use the cost of treasury stock. However, this is not a relevant measure of this economic event. Rather, it is a measure of a prior, unrelated event. The appraised value of the land is a reasonable alternative since the value of the asset acquired should preferably determine the issue price of the stock. However, it is an appraisal as opposed to a cash price. The trading price of the stock is probably the best measure of market value in this transaction. EXERCISE 15-4 (20-25 minutes) (a) 1. Bond Issue Costs (352,000 X 500/880) 200,000 Cash (880 X 9,600) 8,448,000 Bonds Payable 5,000,000 Common Stock 500,000 Paid-in Capital in Excess of Par 3,148,000 Assumes bonds properly priced and issued at par residual attributed to common stock which has a weak measure of market value. Investment banking costs 400 @ 880 352,000 allocate 5/8.8 to debentures and 3.8/8.8 to common stock. Bond portion is bond issue cost common stock portion is a reduction of paid-in capital. 2. Cash 8,448,000 Bond Issue Costs 195,556 Bond Discount (5,000,000 4,888,889) 111,111 Bonds Payable 5,000,000 Common Stock 500,000 Paid-in Capital in Excess of Par (plug) 3,254,667 8,800,000 X (5/9) 4,888,889 To Debentures 8,800,000 X (4/9) 3,911,111 To Common 352,000 X (5/9) 195,556 352,000 X (4/9) 156,444 (b) One is not better than the other. This question is presented to stimulate some thought and class discussion. EXERCISE 15-5 (10-15 minutes) (a) FMV of Common (500 X 165) 82,500 FMV of Preferred (100 X 230) 23,000 105,500 Allocated to Common 82,500/105,500 X 100,000 78,199 Allocated to Preferred 23,000/105,500 X 100,000 21,801 Total allocation (rounded to whole dollars) 100,000 Cash 100,000 Common Stock (500 X 10) 5,000 Paid-in Capital Excess of Par - Common (78,1995,000) 73,199 Preferred Stock (100 X 100) 10,000 Paid-in Capital Excess of Par - Preferred (21,80110,000) 11,801 (b) Lump-sum receipt
Study Guide to accompany Canadian Business and the Law, 5th edition
THE CORPORATE FORM:
After studying this chapter, you should have an understanding of
• a corporation as a legal person
• the distinction between federal and provincial incorporation
• the share structure of a corporation
• the selection of a corporation’s name
• how a corporation is created
• how the corporation is financed
• how securities are regulated
COMPLICATIONS OF LABOR AND BIRTH
Between 20-37 week’s gestation, preterm labor and premature ruptures of membranes leads to preterm labor, early prenatal care reduce or eliminate some risk factors
criteria for diagnosing preterm labor include:
gestation less than 36 wks
documented uterine contractions every 5-10 mins lasting for atleast 30 seconds and persisting for more than 1 hr
cervical dilation more than 2.5cm and 75% effaced
exact cause is unclear, risk factors:…
HBSE Chapters 14, 15, and 16 Study Guide
Here is your study guide for Chapters 14, 15, 16.
People 75 and older are considered Old-Old Mid-Old = 65+
Konrad Adeneour was a 88 year old German Chancellor who promoted a Social Market Economy
Mary Eddy founded the Christian Science Monitor
Arthur Rubenstein was a Polish-American classic pianist who gave one of his best performances in Carnegie Hall
Albert Schweitzer headed a hospital in Africa. He was a theologian, philosopher, organist, and…
Sample Questions Ch. 15
1- A corporation's first sale of equity made available to the public is called a(n):
A) Share repurchase program.
B) Shelf registration filing.
C) Private placement.
D) Seasoned equity offering (SEO).
E) Initial public offering (IPO).
2- The contract provision whereby the underwriting syndicate may, at their option, purchase additional securities from the issuing corporation at the initial offering price is called (the) :
A) Regulation A.
B) Red herring provision.…
which is explained in the Student Code. Please read the policy carefully and be sure that you comprehend it.
Grade Distribution: This course uses the +/ - grading system.
Class Attendance and participation: 15 %
One Quiz including short essays: 15 %:
Final Examination: 30% (Exam consists of identification, multiple choice and essay questions. Questions cover material from class lectures, readings, hand-outs, discussions, videos, films, and slides. The final exam is not cumulative…
Gordon, Raedy, Sannella. Provided by professor.
News: The Wall Street Journal Purchase at wsj.com/class Instructor: Susan Hughes
Assessment Tests Online: www.Gleim.com. (more details appears on Blackboard)
Academic Accounting Access to the FASB and GASB accounting standards: aaahq.org/ascLogin.cfm. Username AAA51391 Password Y8k7hDG
Access to www.fasb.org, www.ifrs.org, pwccomperio.com (user name: UVMACCT, Password GOCATS or…
Accounting Information Systems
Instructor: Dr. Jim Stinson, PhD, CPA Office: 360C Melcher Hall
Office phone: 713-743-4898 Office hours: After class
E-mail: email@example.com or by appointment
DO NOT ATTEMPT TO CONTACT DR. STINSON BY BLACKBOARD EMAIL
Upon completion of this course the student should:
understand business processes
be prepared to take a course in auditing
be familiar with AIS software tools
have a basic foundation required…
History 1110: Introduction to World History
Room 3029 Social Science Building
Dr. Ryan Ronnenberg
Tuesday/Thursday 11-12:15 pm
Office Hours: Tuesday/Thursday 1-3 pm
Office: 4090 Social Science
Email: firstname.lastname@example.org (Please do not use WebCT to email me)
Office Phone: 770-499-3463
“An overview of world history which provides an introduction to the origin and development of the world’s societies and their political, cultural, and economic traditions.”