Reference no: EM131935579
Selected Stock Transactions
The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year:
Preferred 2% Stock, $200 par (30,000 shares authorized, 15,000 shares issued) $3,000,000
Paid-In Capital in Excess of Par—Preferred Stock 360,000
Common Stock, $10 par (800,000 shares authorized, 300,000 shares issued) 3,000,000
Paid-In Capital in Excess of Par—Common Stock 390,000
Retained Earnings 14,310,000
During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows:
Issued 80,000 shares of common stock at $17, receiving cash.
Issued 8,000 shares of preferred 2% stock at $213.
Purchased 48,000 shares of treasury common for $13 per share.
Sold 24,000 shares of treasury common for $16 per share.
Sold 16,000 shares of treasury common for $11 per share.
Declared cash dividends of $4.00 per share on preferred stock and $0.08 per share on common stock.
Paid the cash dividends.
Journalize the entries to record the transactions.
For a compound transaction, if an amount box does not require an entry, leave it blank.
Required:
a. Issued 80,000 shares of common stock at $17, receiving cash.
b. Issued 8,000 shares of preferred 2% stock at $213.
c. Purchased 48,000 shares of treasury common for $13 per share.
d. Sold 24,000 shares of treasury common for $16 per share.
e. Sold 16,000 shares of treasury common for $11 per share.
f. Declared cash dividends of $4.00 per share on preferred stock and $0.08 per share on common stock.
g. Paid the cash dividends.