Ivanhoe Corporation issued 320 shares of 10 par value ordina

Ivanhoe Corporation issued 320 shares of $10 par value ordinary shares for $4,670. Prepare Ivanhoe’s journal entry.

Options for Account Titiles and Explanation:

- Share Premium—Preference

- Cash

- Share Capital—Ordinary

- Share Premium—Treasury

- Share Capital—Preference

- Share Premium—Ordinary

Account Titles and Explanation

Debit

Credit

Account Titles and Explanation	Debit	Credit


	$\"\"$	$\"\"$

Solution:

Journal Entry
Particulars	Debit	Credit
Cash A/c Dr	$4,670.00
To Share Capital - Ordinary A/c (320*10)		$3,200.00
To Share Premium - Ordinary A/c (4670-3200)		$1,470.00
(Being 300 Ordinary share issued having $10 par value for $4,670)