Question

On June 1, Skysong, Inc. issues 2,700 shares of no-par common stock at a cash price of $6 per share. Journalize the issuance of the shares. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Answer 1

June 1

DR Cash $16,200

CR Common Stock $16,200

(To record issuance of Common Stock)

Workings

Cash

= 2,700 shares * $6 price

= $16,200