journalize the company rsquo s issuance of the stock for cash 551012

Issuing stock and interpreting stockholders’ equity

Scifilink.com issued stock beginning in 2012 and reported the following on its balance sheet at December 31, 2012:

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Common stock, $ 2.00 par value

Authorized: 6,000 shares

Issued: 4,000 shares

$ 8,000

Paid-in capital in excess of par

4,000

Retained earnings

26,500

Requirement

  1. Journalize the company’s issuance of the stock for cash.
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