Recording the sale of Preferred Stock (per value = $100) 1) Record the sale of 1,000 shares of 4% Preferred Stock at $105 per share (= $105,000) Debit Credit Recording the declaring of a dividend of $15.000 ASSUME: that the company hasa profit of $25,000 (see Income Summary account) and declaresa dividend 2) Record the entry to declare a $15,000 dividend Debit Credit Recording the payment of a dividend of $15.000 3) Record the entry to pay the $15,000 dividend Debit Credit Assets Liabilities Equity Revenue Revenue Expense Accts Payable Sales Revenue Cost Of Goods Sold Cash 12.000 50,000 100,000 Common Stock ($10 Par) 10,000 10,000 10,000 Common Stock Paid-In Capital In Excess of Par 2,000 40,000 90,000 Accts Receivable Wages Payable Preferred Stock $100 par) Wages Expense Preferred Stock Paid-In Capital In Excess of Par Inventory Dividends Payable Rent Expense Capital Asset L/TNote Payable Treasury Stock Deprec Expense Paid-In Capitalfrom Sale of Treasury Stock Acc Deprec Retained Earnings Common Stk Dividends Preferred Dividends Income Summary 25,000