R Red Formed a Corporation with an Authorization of 20,000

question 65

Essay

R. Red formed a corporation with an authorization of 20,000 shares of $50 par, 6% non-cumulative preferred stock and 100,000 shares of $10 par common stock. The following selected transactions were completed during the first year of operations. Journalize the transactions omitting explanations.
Jan 10 Issued 20,000 shares of common stock at par for cash.
31 Issued 20,000 shares of common stock in exchange for land, buildings, and
equipment with fair market prices of $52,000, $125,000, and $48,000, respectively.
Feb 24 Issued 2,000 shares of preferred stock at $54 for cash.

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Definitions:

Schizophrenia

A psychotic disorder marked by delusions, hallucinations, disorganized and incoherent speech, inappropriate behavior, and cognitive impairments.

Tardive Dyskinesia

A neurological disorder characterized by involuntary, repetitive body movements, often resulting from long-term use of antipsychotic medication.

Antipsychotics

Medications used to treat psychotic disorders, such as schizophrenia, by altering brain chemistry to reduce psychotic symptoms.

Lithium Carbonate

A chemical compound used primarily in the treatment of bipolar disorder, acting as a mood stabilizer.