Question 1. A company has the following transactions during the year related to stockholders equity.

February		1		Issues 4,800 shares of no-par common stock for $15 per share.
May		15		Issues 300 shares of $10 par value, 6.5% preferred stock for $12 per share.
October		1		Declares a cash dividend of $0.65 per share to all stockholders of record (both common and preferred) on October 15.
October		15		Date of record.
October		31		Pays the cash dividend declared on October 1.

Required:

Record each of these transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)

Question 2.

A company has two classes of stock authorized: 8%, $10 par preferred, and $1 par value common. The following transactions affect stockholders equity during Year 1, its first year of operations:

January		2		Issues 100,000 shares of common stock for $34 per share.
February		6		Issues 2,900 shares of 8% preferred stock for $12 per share.
September		10		Purchases 10,000 shares of its own common stock for $39 per share.
December		15		Resells 5,000 shares of treasury stock at $44 per share.

Required: Record each of these transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)