During Its First Year of Operations,Cole's Electronics Inc

question 56

Essay

During its first year of operations,Cole's Electronics Inc.completed the following transactions relating to shareholders' equity.
January 5: Issued 1,000,000 shares of common stock for $25 per share.
February 12: Issued 20,000 shares of common stock to accountants for $500,000 of professional services.
The articles of incorporation authorize 5,000,000 shares of common stock with a par value of $1 per share and 1,000,000 preferred shares with a par value of $100 per share.
Required:
Record the above transactions in general journal form.

---

Definitions:

Eyes

Organs of the visual system in humans and many animals, which allow for the perception of light, leading to vision.

HIV

Human Immunodeficiency Virus, a virus that attacks the immune system and can lead to acquired immunodeficiency syndrome (AIDS) if not treated.

Maternal Blood

The blood circulating in a pregnant woman that provides oxygen and nutrients to both the mother and the fetus.

Delivery

The process of giving birth to a baby, concluding the pregnancy phase and initiating parenthood.