Pharoah Inc. recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review what he had learned earlier about corporation accounting. During the first month, he made the following entries for the corporation's capital stock.

Date

Account Titles and Explanation

Debit

Credit

May 2

Cash

195,000

Capital Stock

195,000

(Issued 13,000 shares of $5 par value common stock at $15 per share)

May 10

Cash

880,000

Capital Stock

880,000

(Issued 11,000 shares of $40 par value preferred stock at $80 per share)

May 15

Capital Stock

16,500

Cash

16,500

(Purchased 1,100 shares of common stock for the treasury at $15 per share)

May 31

Cash

12,920

Capital Stock

6,800

Gain on Sale of Stock

6,120

(Sold 680 shares of treasury stock at $19 per share)

On the basis of the explanation for each entry, prepare the entries that should have been made for the capital stock transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date

Account Titles and Explanation

Debit

Credit