Question 1: Justine Corp received its charter and began business in 2015. The company was authorized to issue 20,000, $5, noncumulative preferred shares and an unlimited number of common shares. Prepare journal entries to record the following transactions that occurred during 2015: Aug-01 Sold 3,500 preferred shares for $70 per share, cash. Sep-12 Honoured a $35,000, 12%, 120 note payable, in exchange for 500 preferred shares Oct-03 Sold 4,000 common shares at $32 per share