REFERENCE: Ref.06_16 Panton,Inc.acquired 18,000 Shares of Glotfelty Corp.several Years Ago.At the Present

question 26

Essay

REFERENCE: Ref.06_16
Panton,Inc.acquired 18,000 shares of Glotfelty Corp.several years ago.At the present time,Glotfelty is reporting the following stockholders' equity: Glotfelty issues 5,000 shares of previously unissued stock to the public for $27 per share.None of this stock is purchased by Panton.
-Panton,Inc.acquired 18,000 shares of Glotfelty Corp.several years ago.At the present time,Glotfelty is reporting the following stockholders' equity:
Glotfelty issues 5,000 shares of previously unissued stock to Panton for $35 per share.
Required: Describe how this transaction would affect Panton's books.

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Definitions:

Tarsals

A group of seven bones in the foot situated between the lower leg bones (tibia and fibula) and the metatarsal bones, playing a key role in the structure and function of the foot.

Axial Skeleton

The part of the skeleton that consists of the bones of the head and trunk of a vertebrate.

Appendicular Skeleton

Part of the skeleton that includes the bones of the limbs and the pectoral and pelvic girdles, facilitating movement.

Cavitiy

A hollow space within the body or one of its organs; however, the correct spelling is "cavity."