Grahn company engaged in the following transactions during the year. Please record the proper journal entry. 1. Issued 9,000 shares of $6 par Convertible Preferred stock for $10 per share. Each share of preferred stock can be converted into 3 shares of common stock at the discretion of the stockholder. The common stock has a $5.00 par value 2. Preferred stockholders owning 5,000 shares converted their shares into common stock at a time when the common stock was selling for $12 per share. Use the book value method. 3. The company called in the remaining 4,000 shares of preferred stock for $8.00 per share. Problem #2 The Smith Company has 2000 shares of treasury stock that was reacquired at $14.00 per share. The original par value of these 2000 reacquired shares was $3.00 and these 2000 shares were first issued at $15.00 per share. 1. Record the journal entry if Smith reissues 500 of the treasury shares for $18.00 per share. 2. Record the journal entry if Smith reissues 900 more of the treasury shares for $9.00 per share. 3. Record the journal entry if Smith decides to retire the remaining 600 treasury shares.