Accounting for Share Transactions

At the beginning of the year, The Mann Corporation, a private entity, decided to go public. A charter of incorporation was constructed which authorized the sale of ten million shares of $1 par value common stock; 100,000 shares of $100 par value, eight percent preferred stock; and 200,000 shares of $5 no-par-value convertible preferred stock. The following shares were sold as part of the firm's IPO:

- 1,000,000 shares of common stock at $10 per share.

- 100,000 shares of $100 par value, eight percent preferred stock at $105 per share.

- 100,000 shares of $5 convertible, no-par preferred stock at $55 per share.

At year-end, the full dividend was declared and paid on both preferred stock offerings.

Required:

Using a spreadsheet, record the financial effects of the shareholders' equity transactions for The Mann Corporation for the year.