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1. During 2019, Road Pavement Corp. engaged in the following selected transactions: Jan 01: Issued 25,000 shares of $3 par value common stock at $7

1.

During 2019, Road Pavement Corp. engaged in the following selected transactions:

Jan 01:

Issued 25,000 shares of $3 par value common stock at $7 per share.

Jun 15:

Re-acquired 1,000 shares of common stock sold in Jan for $6 per share.

Aug 10:

Sold 400 shares of its re-acquired common stock purchased in June for $9 per share.

Sept 30:

The Board of Directors declared and recorded a cash dividend of $0.20 per share outstanding to its share holders.

Nov 30:

Paid the cash dividend declared in September.

Dec 15:

Issued another 5,000 shares of common stock at $10 per share.

Required:

  1. Record the Journal Entries for the above transactions:

  1. Prepare the Stockholders Equity Section of the Balance Sheet if the Retained Earnings at the end of the year has a balance of $125,000.

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