Major League Apparel has two classes of stock authorized: 5%, $10 par preferred, and $1 par value common. The following transactions affect stockholders equity during 2018, its first year of operations:

January 2 Issue 100,000 shares of common stock for $69 per share.

February 14 Issue 59,000 shares of preferred stock for $11 per share.

May 8 Repurchase 10,000 shares of its own common stock for $59 per share.

May 31 Reissue 5,000 shares of treasury stock for $64 per share.

December 1 Declare a cash dividend on its common stock of $0.30 per share and a $29,500 (5% of par value) cash dividend on its preferred stock payable to all stockholders of record on December 15. The dividend is payable on December 30. (Hint: Dividends are not paid on treasury stock.)

December 30 Pay the cash dividends declared on December 1.

Journal entry worksheet 2 3 4 6 Record the declaration of cash dividends. Note: Enter debits before credits. Date General Journal Debit Credit December 01, 2018 Record entry Clear entry View general journal