2500 shares of $5 par value common stock for cash at PROBLEMS: 1. (6 pts ) Record the Journal entry to issue stock On June 1, Orange Corp. issues 2,500 shares o $13 per share orp, issues 8,000 shares of $100 par preferred stock for cash at $106 per share. 2. (10 pts) Record the journal entries for the sale of merchandise for a merchandising company Orange Corp. uses the perpetual method of inventory. Record the following journal entries: On May 2 Orange Corp. sold $400,000 of merchandise on account. The terms are 2/10,n/30. The cost of the merchandise was $120,000 On May 5 the customer returned $60,000 of the merchandise purchased on May 1. The cost of the merchandise returned was 30,000 On May 10 Orange Corp received payment from the above customer 3. (20 pts)Prepare the income statement, statement of retained eamings and balance sheet for the CSU company(on the next page) Also answer this question: Explain how the financial statements are interrelated to each other. Explain your