Use the following information to answer questions 57-58.
Minosh Corp. is authorized to issue 400,000 no par value common shares. Subscribers agree to purchase shares at $ 12 per share with a 30% down payment.
-The journal entry to record the issuance of the shares upon receipt of the final instalment includes a
A) debit to Common Shares Subscribed for $ 900,000.
B) credit to Common Shares for $ 670,000.
C) credit to Common Shares for $ 270,000.
D) debit to Subscriptions Receivable for $ 670,000.

Question

Quizplus · Accepted Answer

The final installment would complete the payment for the shares, so the Common Shares Subscribed account would be debited to remove the subscription and recognize the full issuance of shares.

Use the Following Information to Answer Questions 57-58