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Share Capital Analysis for Lake Company

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Alyssa Drew Flores
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20 views2 pages

Share Capital Analysis for Lake Company

Uploaded by

Alyssa Drew Flores
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd

Problem 20-2

Requirement A.
Unissued Shares Capital 5,000,000
Authorized Share Capital
50,000*100
*Authorized shares for Lake Company 50,000 shares @ 100 par value

Subsciption Share Receivables 2,000,000


Subscribe Share Capital
50,000*40%*100
*Sunscription of Incorporators

Cash 500,000
Subscription Recceivable
2,000,000*25%
* Partial payments of Incorporators 25%

Cash 750,000
Subscription Receivable
10000*75%*100
* Full payment for 10,000 Shares

Subscribed Share Capital 1,000,000


Unissued Share Capital
10,000*100
* Issuance of Shares certificates for the full payment of 10,00 shares

Patent 500,000
Unissued Share Capital
5,000*100
*Issuance of 5,000 shares @100 par value for acquisition of patent

Cash 1,800,000
Unissued Share Capital
Share Premium
15,000*120
* Issuance of 15,000 shares @ 120 premium

Requirement B.
Authorized Share Capital, 50,000 Shares @ 100 par 5,000,000
Unissued share capital -2,000,000
issued share capital 3,000,000
Subscribed share capital 1,000,000
Subscripyion receivable -750,000
Share premium 300,000
3,550,000
5,000,000

ar value

2,000,000

500,000

750,000

1,000,000

0 shares

500,000

patent

1,500,000
300,000

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