Required Journal Entries: 1-Jul The owner is concerned about unlimited liability being a sole proprietorship. Therefore, the company is converting to a corporation. The owner will receive 2,500 shares of $100 par common stock for the original investment. The balance in owners capital is $175,000. 3-Jul Issued 30,000 shares of common stock, $10 par value. Week 7: Merchandising Corporations and Final Submission 14-Jul Declared a cash dividend of $1.50 per share for the outstanding shares of common stock. (Remember to utilize the correct payable account.) 31-Jul Paid out the dividend in cash.