Sir Win – Accounting Lectures

Jokes Tagalog
Stories Legit Professor
Life Lessons

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Lecture 05: Par Value and No Par Value Shares
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Katrina Corporation’s articles authorized the issuance of 100,000

ordinary shares. Katrina sold the following ordinary shares during
2020.

Feb. 12 Sold 1,000 shares for P100,000.

Mar 5 Sold 5,000 shares for P630,000.
Aug. 6 Sold 7,500 shares for P1,050,000.

Prepare journal entries to record each issuance and compute for the
legal capital, assuming that:

1. The ordinary shares has a P100 par value.

2. The ordinary shares has a P10 stated value.
3. The ordinary shares has no-par or stated value.