1. Finlay, Inc., issued 14,000 shares of $52 par value preferred stock at $68 per share and 18,000 shares of no-par value common stock at $12 per share. The common stock has no stated value. All issuances were for cash. a. Prepare the journal entries to record the share issuances. b. Prepare the journal entry for the issuance of the common stock assuming that it had a stated value of $5 per share. c. Prepare the journal entry for the issuance of the common stock assuming that it had a par value of $1 per share.

2.Coastal Corporation issued 25,000 shares of $6 par value common stock at $18 per share and 6,000 shares of $50 par value, eight percent preferred stock at $79 per share. Later, the company purchased 3,000 shares of its own common stock at $21 per share. a. Prepare the journal entries to record the share issuances and the purchase of the common shares. b. Assume that Coastal sold 2,000 shares of the treasury stock at $27 per share. Prepare the general journal entry to record the sale of this treasury stock. c. Assume that Coastal sold the remaining 1,000 shares of treasury stock at $20 per share. Prepare the journal entry to record the sale of this treasury stock.

3. Sanders Corporation has the following shares outstanding: 6,000 shares of $50 par value, eighteen percent preferred stock and 40,000 shares of $1 par value common stock. The company has $328,000 of retained earnings. At year-end, the company declares its regular $9 per share cash dividend on the preferred stock and a $10.2 per share cash dividend on the common stock. Three weeks later, the company pays the dividends. a. Prepare the journal entry for the declaration of the cash dividends. b. Prepare the journal entry for the payment of the cash dividends.