B-Mobile Wireless needed additional capital to expand, so the business incorporated. B-Mobile Ltd then completed the following transactions:
Oct 2 Issued 19,000 ordinary shares for equipment with market value $110,000
Oct 9 Received applications for 15,000 ordinary shares at a total issue price of $6 per share, each accompanied by an initial payment of 25% of the issue price, and allotted all 15,000 shares to these applicants
Oct 12 Issued 8,000 preference shares to acquire a patent with a market value of $80,000
Oct 28 Made a call on the partly paid ordinary shares of a further $3 per share. The call was paid in full
1. Record the transactions in the general journal.
2. Prepare the shareholders equity section of the B-Mobile balance sheet on 31 October. The ending balance of Retained Earnings is $46,000