CMobile Wireless needed additional capital to expand, so the business incorporated. The charter from the...
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CMobile Wireless needed additional capital to expand, so the business incorporated. The charter from the state of Georgia authorizes CMobile to issue 100,000 shares of 8%, $100par value cumulative preferred stock and 100,000 shares of $11 par value common stock. During the first month, CMobile completed the following transactions. Requirement 1: Oct. 2: Issued 25,000 shares of common stock for a building with a market value of $130,000. Oct. 6: Issued 950 shares of preferred stock for $120 per share. Oct. 9: Issued 17 comma 00017,000 shares of common stock for cash of $ $68,000. Oct. 10: Declared a $16,000 cash dividend for stockholders of record on Oct. 20. Use a separate Dividends Payable account for preferred and common stock. Oct. 25: Paid the cash dividend. Requirement 2. Prepare the stockholders' equity section of CMobile's balance sheet at October 31, 2018. Assume CMobile's net income for the month was $92,000.
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