Required information Problem 10-6A Record equity transactions and prepare the stockholders' equity section (LO10-2, 10-3, 10-4, 10-5, 10-7) [The following information applies to the questions displayed below.] Major League Apparel has two classes of stock authorized: 6%, $10 par preferred, and $1 par value common. The following transactions affect stockholders' equity during 2021, its first year of operations: January 2 Issue 110,000 shares of common stock for $70 per share. February 14 Issue 60,000 shares of preferred stock for $12 per share. May May 8 Purchase 11,000 shares of its own common stock for $60 per share. 31 Resell 5,500 shares of treasury stock for $65 per share. December 1 Declare a cash dividend on its common stock of $0.25 per share and a $36,000 (6% of par value) cash dividend on its preferred stock payable to all stockholders of record on December 15. The dividend is payable on December 30. (Hint: Dividends are not paid on treasury stock.) December 30 Pay the cash dividends declared on December 1. 1. Record each of these transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) > Answer is complete but not entirely correct. General Journal No Date 1 January 02, 2021 Cash Common Stock Additional Paid-In Capital 2 February 14, 2021 Cash Preferred Stock Additional Paid-In Capital 3 May 08, 2021 Treasury Stock Cash 4 May 31, 2021 Cash Treasury Stock Additional Paid-In Capital 5 December 01, 202 Dividends Dividends Payable 6 December 15, 202 No Journal Entry Required 7 December 30, 202 Dividends Payable Cash >> Debit Credit 708,000 x 120,000 6,960,000 x 637,000 x 490,000 x 147,000 x >> 588,000 X 588,000 x 324,000 294,000 X 30,000 x 82,300 x 82,300 x 82,300 82,300