2) The journal entry to issue 1,000 shares of $7 par value preferred stock for $200,000 would be: a. Dr. Cash $200,000; Cr. Preferred stock $7,000, Cr. Additional Paid in capital- PS $193,000 b. Dr. Cash $200,000; Cr. Preferred stock $200,000 c. Dr. Cash $200,000; Cr. Preferred stock $193,000, Gr. Additional Paid in capital-PS $7,000 d. Dr. Preferred stock $7,000, Dr. Additional Paid in capital-PS $193,000; Cr. Cash $200,000 3) Harrison & Co. has the following selected financial information: Common Stock, $5 par value $600,000 Additional Paid in Capital-CS 250,000 Treasury Stock (2,000 shares) (12,000) Retained Earnings 38,000 a) What is the number of shares issued for Harrison & Co.? a. 118,000 b. 120,000 C. 170,000 d. 2,000 b) What is the number of shares outstanding for Harrison & Co.? a. 118,000 b. 120,000 C. 170,000 d. 2,000 c) The purchase of treasury stock resulted in a(an): a. increase in stockholders' equity b. decrease in stockholders' equity C. increase in assets d. increase in liabilities Why? 4) The journal entry to record the purchase of treasury stock would include a debit to treasury stock for: a) the price paid for the treasury stock b) the par value of the treasury stock c) the retained earnings associated with the treasury stock d) the earnings per share associated with the treasury stock