Prepare a statement proving whether or not the inventory of the Paterson store, January 1, 1918, was correct as stated.
43. On paper ruled as for a stock ledger, make entry of the following stock transactions of William Henderson, closing the account as of October 31, 1918, and carrying down the balance:
100 shares (par value $100) originally issued, full paid at par to William Henderson by certificate No. 5. August 16, 1918.
William Henderson sells 50 shares of the original 100 to Charles Gibbons at $120, September 14, 1918, receiving certificate No. 37 for shares retained.
October 28, 1918, William Henderson purchases from John Hogan 25 shares at $115 and receives certificate No. 78.
44. Stockholders of the Deep Canal Company donated 400 shares of stock of a par value of $100 per share for the purpose of providing working capital.
Three hundred shares of the treasury stock were sold by agents at 90. A commission of 10% and expenses of $516 was allowed the agents for selling. The 300 shares of treasury stock were sold on the instalment plan, 10% down and 10% a month for the balance. Certificates of stock not to be issued until paid in full.
Six months later you are to enter the total amount of cash paid on instalments, excluding the initial payment which was made at the time of subscription.
At the end of eight months 100 subscribers defaulted on their subscription contracts. Their subscriptions were canceled and the payments they had made declared forfeited.
The balance of all subscription accounts except those canceled by default have been paid in full and stock certificates therefor duly issued.