P11-2 Recording Transactions Affecting Shareholders' Equity LO11-3, 11-7, 11-8 King Corporation began operations in January, year 1. The charter authorized the following share capital; Preferred shares: 11 percent, $25 par value, authorized 52.000 shares. Common shares: no par value, authorized 182,500 shares During year 1, the following transactions occurred in the order given a. Sold and issued 26,000 common shares to each of the three organizers. Collected $9 cash per share from two of the organizers, and received a plot of land with a small building on it in full payment for the shares of the third organizer and issued the shares Immediately. Assume that 30 percent of the non-cash payment received applies to the building. b. Sold and issued 7,200 preferred shares at $25 per share, Collected the cash and issued the shares immediately. c. Sold and issued 3.200 preferred shares at $25 and 3.200 common shares at $12 per share. Collected the cash and issued the shares immediately. d. The operating results at the end of year 11 were as follows: Revenues Expenses, including income taxes $300,000 210,000 Required: 1. Prepare the journal entries to record each of these transactions and to close the accounts. (If no entry is required for a transaction/event, select "No journal entry required" In the first account field.)