Issuance of Stock The Cada Corporation is authorized to issue 10,000 shares of $100 par, convertible, callable preferred stock and 80,000 shares of no-par, no-stated-value common stock. There are currently 7,000 shares of preferred and 30,000 shares of common stock outstanding. The following are several alternative transactions: 1. Purchased land by issuing 640 shares of preferred stock and 1,000 shares of common stock. Preferred and common are currently selling at $113 and $36 per share, respectively. No reliable appraisal of the land is available. 2. Same as transaction 1, except that land is appraised at $104,000 and the preferred stock has no current market value Required Prepare the journal entry necessary to record each transaction. Below each entry, explain your reason for the values used Treasury Stocks, Cost Method Bush-Caine Company reported the following data on its December 31, 2020 balance sheet: Preferred stock, $50 par $50,000 Additional paid-in capital preferred stock $4,000 Common stock, $10 par $100,000 Additional paid-in capital on common stock $80,000 Retained earnings $95,000 The following transactions were reported by the company during 2021: 1. Reacquired 200 shares of its preferred stock at $57 per share. 2. Reacquired 500 shares of its common stock at $16 per share. 3. Sold 100 shares of preferred treasury stock at $58 per share. 4. Sold 200 shares of common treasury stock at $17 per share. 5. Sold 100 shares of common treasury stock at $9 per share. 6. Retired the shares of common stock remaining in the treasury. The company maintains separate treasury stock accounts and related additional paid-in capital accounts for each class of stock, Required 1. Prepare the journal entries required to record the treasury stock transactions using the cost method