Kensington Corp. has been authorized to issue 20,200 shares of $100 par value, 7%, noncumulative preferred stock and 1,120,000 shares of no-par common stock.

The corporation assigned a $4 stated value to the common stock. At December 31, 2017, the ledger contained the following balances pertaining to stockholders equity.

Preferred Stock

$152,000

Paid-in Capital in Excess of Par ValuePreferred Stock

21,200

Common Stock

1,970,000

Paid-in Capital in Excess of Stated ValueCommon Stock

1,530,000

Treasury Stock (4,200 common shares)

37,800

Retained Earnings

81,600

Accumulated Other Comprehensive Income (Net Income)

49,200

The preferred stock was issued for $173,200 cash. All common stock issued was for cash.

In November 4,200 shares of common stock were purchased for the treasury at a per share cost of $9.

No dividends were declared in 2017.

(a) Prepare the journal entries for the following:

6170

1)

Issuance of preferred stock for cash.

2)

Issuance of common stock for cash.

Purchase of common treasury stock for cash.

(b) Prepare the stockholders equity section of the balance sheet at December 31, 2017.
Please indicate par value, shares authorized, shares issued and shares outstanding for all stocks
by filling in the blanks as indicated on the balance sheet below:
				KENSINGTON CORP.
				Partial Balance Sheet
				31-Dec-17
Stockholders equity
Paid-in capital
Capital stock
7% Preferred stock, _____ par value, non cumulative, _____
shares authorized, _____ shares issued, ??? shares outstanding
Common stock, no-par, _____ stated value, _____ shares
authorized, _____ shares issued, and _____ outstanding
	Total capital stock
Additional paid-in capital
	Total additional paid-in capital
	Total paid-in capital
Retained earnings
	Total paid-in capital and retained earnings
Accumulated other comprehensive income
Less: Treasury stock (_____ Shares)
Total stockholders equity