RRed Formed a Corporation with an Authorization of 20,000 Shares $\text {Jan 10}$

question 58

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.
$\text {Jan 10}$ $\quad$ $\text {Issued 20,000 shares of common stock at par for cash.}$
$\quad$ $\quad$ $\quad$ $\text {31}$$\text { Issued 20,000 shares of common stock in exchange for land, buildings, and}$
$\quad$ $\quad$ $\quad$ $\text {Equipment with fair market prices of \(\$ 52,000 , \$ 125,000\), and \(\$ 48,000\), respectively.}$
$\text {Feb 24}$ $\quad$$\text {Issued 2,000 shares of preferred stock at \(\$ 54\) for cash.}$

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Definitions:

Depression

A geological term describing a sunken area or a hollow on the surface of the Earth.

Valley

A valley situated between hills or mountains, often hosting a flowing river or stream.

Ridge

A ridge is a long, narrow elevation of land, often with sloping sides, which can be found both underwater as part of oceanic systems and on land.

Terminal Moraine

A terminal moraine is an accumulation of debris and sediment formed at the snout (end point) of a glacier, marking the furthest advance of the glacier.