ACCT&202 ACCOUNTING FOR CORPORATIONS PAID-IN CAPITAL RETAINED IN EXCESS EARNINGS TOTAL EQUITY SELECT SUMMARY OF EQUITY TRANSACTIONS AND THEIR EFFECTS ON ASSETS, LIABILITIES, AND EQUITY EFFECT ON ASSET ACCOUNTS EQUITY ACCOUNTS TRANSACTION CASH TOTAL LIABILITIES COMMON ASSETS STOCK (Common Stock) Stock is issued for cash above par value Stock is issued in exchange for land above par value Cash dividends are declared Cash dividends are paid Large stock dividends are declared Large stock dividends are distributed Small stock dividends are declared Small stock dividends are distributed Company purchases its own stock for cash (cost method) Company resells treasury stock above cost for cash (cost method) Company resells treasury stock below cost for cash (cost method) Treasury stock is retired Page 58 of 98