Instructions Lodi Company is authorized to issue 100,000 shares of no-par, S6 stated-value common stock and 10,000 shares of 9%, $100 par preferred stock. It enters into the following transactions on December 31: 1. Accepts a subscription contract to 7,000 shares of common stock at $42 per share and receives a 30% down payment. 2. Collects the remaining balance of the subscription contract and issues the common stock. 3. Acquires a building by paying $2,000 cash and issuing 3,000 shares of common stock and 900 shares of preferred stock. Common stock is currently selling at $46 per share; preferred stock has no current market value. The building is appraised at $1,175,000. 4. Sells 1,000 shares of common stock at $47 per share. 5. Sells 900 shares of preferred stock at $115 per share. 6. Declares a three-for-one stock split on the common stock, reducing the stated value to $2.00 per share. Prepare journal entries to record the transactions on December 31 General Journal Instructions PAGE 1 PAGE 2 GENERAL JOURNAL DATE ACCOUNT TITLE POST. REF. DEBIT CREDIT PAGE 1 PAGE 2 GENERAL JOURNAL DATE ACCOUNT TITLE POST. REF. DEBIT CREDIT