Pool Corporation is authorized to issue an unlimited number of common shares and 1,000,000 shares of preferred shares. During 2021, its first year of operation, the company had profit of 200,000. The following share transactions occurred: Instructions
a) Journalize the transactions for Pool Corporation.
b) Prepare the shareholders' equity section of the balance sheet, Pool has a December 31 year-end.

Question

Pool Corporation is authorized to issue an unlimited number of common shares and 1,000,000 shares of preferred shares. During 2021, its first year of operation, the company had profit of 200,000. The following share transactions occurred:  Instructions 
a) Journalize the transactions for Pool Corporation.
b) Prepare the shareholders' equity section of the balance sheet, Pool has a December 31 year-end.

Quizplus · Accepted Answer

The Answer of Pool Corporation is authorized to issue an unlimited number of common shares and 1,000,000 shares of preferred shares. During 2021, its first year of operation, the company had profit of 200,000. The following share transactions occurred:  Instructions 
a) Journalize the transactions for Pool Corporation.
b) Prepare the shareholders' equity section of the balance sheet, Pool has a December 31 year-end.

Pool Corporation Is Authorized to Issue an Unlimited Number of Common