The partners who own Ameen Canoes Co. wished to avoid the unlimited personal liability of the… 1 answer below »

The partners who own Ameen Canoes Co. wished to avoid the unlimited personal liability of the… 1 answer below »

The partners who own Ameen Canoes Co. wished to avoid the unlimited personal liability of the partnership form of business, so they incorporated as Ameen Canoes, Inc. The charter from the state of Mississippi authorizes the corporation to issue 150,000 shares of $20 par common stock. In its first month, Ameen Canoes completed the following transactions Jan 6 Issued 100 shares of common stock to the promoter for assistance with issuance of common stock. The promotional fee was $3,000. Debit Organization Expense. 9 Issued 7,000 shares of common stock to Al Ameen and 11,000 shares to Arnold Ameen in return for cash equal to the stock’s market value of $30 per share. The Ameens were partners in Ameen Canoes Co. 26 Issued 900 shares of common stock for $30 cash per share. Requirements 1. Record the transactions in the journal. 2. Prepare the stockholders’ equity section of Ameen Canoes, Inc., balance sheet at January 31. The ending balance of Retained Earnings is $80,000.

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