B-Mobile Wireless needed additional capital to expand, so the business incorporated. B-Mobile Ltd… 1 answer below »

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

Requirements

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