Serra do Mar Corporation manufactures and distributes leisure clothing. Selected transactions completed by Serra do Mar during the current fiscal year are as follows:

Jan. 8 Split the common stock 3 for 1 and reduced the par from $18 to $6 per share. After the split, there were 600,000 common shares outstanding.

Mar. 20 Declared semiannual dividends of $1 on 20,000 shares of preferred stock and $0.14 on the 600,000 shares of $10 par common stock to stockholders of record on March 31, payable on April 20.

Apr. 20 Paid the cash dividends.

May 8 Purchased 50,000 shares of the corporation’s own common stock at $48, recording the stock at cost.

Aug. 2 Sold 30,000 shares of treasury stock at $56, receiving cash.

Sept. 15 Declared semiannual dividends of $1 on the preferred stock and $0.07 on the common stock (before the stock dividend). In addition, a 1% common stock dividend was declared on the common stock outstanding, to be capitalized at the fair market value of the common stock, which is estimated at $52.

Oct. 15 Paid the cash dividends and issued the certificates for the common stock dividend.

Instructions

Journalize the transactions.