Selected stock transactions OBJ. 2, 3, 4 The following selected accounts appear in the ledger of EJ Construction Inc. at the beginning of the current fiscal year:

Preferred 1% Stock, $50 par (100,000 shares authorized, 80,000 shares issued) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,000,000 Paid-In Capital in Excess of Par—Preferred Stock . . . . . . . . . . . . . . . . . . . . . . . . . . . 175,000 Common Stock, $3 par (5,000,000 shares authorized, 2,000,000 shares issued) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,000,000 Paid-In Capital in Excess of Par—Common Stock . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,500,000 Retained Earnings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32,350,000 During the year, the corporation completed a number of transactions affecting the stockholders’ equity. They are summarized as follows:

a. Issued 500,000 shares of common stock at $8, receiving cash.

b. Issued 10,000 shares of preferred 1% stock at $60.

c. Purchased 50,000 shares of treasury common for $7 per share.

d. Sold 20,000 shares of treasury common for $9 per share.

e. Sold 5,000 shares of treasury common for $6 per share.

f. Declared cash dividends of $0.50 per share on preferred stock and $0.08 per share on common stock.

g. Paid the cash dividends.

Instructions Journalize the entries to record the transactions. Identify each entry by letter.