3. The date of record refers to the date a cash dividend is paid to stockholders 4. Stock dividends are a mechanism to keep the market price of stock affordable. Prepare the Journal entry to record Tamas Companys issuance of 5,000 shares of $100 par value, 7% cumulative preferred stock for $102 cash per share uming the facts in part 1, if Tamas declares a vear-end cash dividend, what is the amount of divi- dend paid to preferred shareholders? (Assume no dividends in arrears Stockholders' equity st of Ernst Company consists of 80,000 shares of $5 par value, 8% cumulative preferred ock and 250,000 shares of $1 par value common stock. Both classes of stock have been outstanding since the company's inception. Ernst did not declare any dividends in the prior year, but it now declares cash dividend at the current year-end. Determine the amount distributed to each class and pays a $110,000 of stockholders for this two-year-old company. Zirbal Corporation purchased 4,000 shares of its own stock for $36,000 cash. On November 4, reissued 850 shares of this treasury stock for $8,500. Prepare the May 3 and November 4 journal On May 3, entries to reco rd Zirbal's purchase and reissuance of treasury stock. low are various transactions that a company incurred during the current year. Indicate the impact on equity for each scenario. Identify whether stockholders' equity would increase (D, decrease (D), or have no effect (NE) as a result of each transaction listed below. Consider each transaction independently Listed be 1. A stock dividend equal to 30% of the previously outstanding shares is declared. 2. New shares of common stock are issued for cash. 3. Treasury shares of common stock are purchased (assume the cost method). 4. Cash dividends are paid to shareholders