Issuing Shares Michael Inc. is authorized to issue 50,000, 58, cumulative preferred shares, and 750,000 common shares. Required: Prepare journal entries to record the following transactions that occurred during the first year of operations: Jan. 10 Sold 96,000 (at $8 per share) common shares for cash. Feb. 1 Exchanged 500 preferred shares for $2,500 worth of costs/expenses incurred during organization Oct. 16 10,000 common shares were issued in exchange for equipment with a fair market value of $110,000. The shares were actively trading on this date at $10 per share **Note - when entering the amount, DO NOT Use "$" signs or commas. For example, enter $1,000 as 1000 or $300 as 300 Ethere are decimal places, round to the nearest cent or two decimal places (hundredths) BUT only there are decimal places, otherwise round the nearest dollar. This will simply things Jan. 10- Sold 96,000 (at $8 per share) common shares for cash. What is the journal entry to record this transaction? Date Account Titles and Explanation PR Debit Credit ferred shares for $2,500 worth of costs/expenses incurred during organization. What is the journal entry to record this Feb. 1- Exchanged 500 transaction? Account Tition and Explanation PR Debit Credit 01 + . Oct. 15-10,000 common shares were issued in exchange for equipment with a fair market value of $110,000. The shares were actively trading on this date at $10 per share. Date Account Tities and Explanation PR Debit Credit 11