Selected stock transactions
The following selected accounts appear in the ledger of Parks
Construction Inc. at the beginning of the current year:
During the year, the corporation completed a number of transactions
affecting the stockholders' equity. They are summarized as follows:
a. Issued 400,000 shares of common stock at $11, receiving cash.
b. Issued 5,000 shares of preferred 2% stock at $90.
c. Purchased 150,000 shares of treasury common for $10 per share.
d. Sold 80,000 shares of treasury common for $13 per share.
e. Sold 20,000 shares of treasury common for $9 per share.
f. Declared cash dividends of $1.50 per share on preferred stock
and $0.06 per share on common stock.
g. Paid the cash dividends.
Instructions
Journalize the entries to record the transactions. Identify each entry by
letter
Extracted text: Preferred 2% Stock, $75 par [100.000 shares authorized, 80.000 shares issued) $ 6.000.000 Paid-In Capital in Excess of Par-Preferred Stock | 420,000 Common Stock, $8 par (5,000.000 shares authorized, 3,000,000 shares issued} 24,000,000 Paid-In Capital in Excess of Par-Common Stock 1,850,000 Retained Earnings 115,400,000