Question
Selected Stock Transactions Diamondback Welding & Fabrication Corporation sells and services pipe welding equipment in Illinois. The following selected accounts appear in the ledger of
Selected Stock Transactions
Diamondback Welding & Fabrication Corporation sells and services pipe welding equipment in Illinois. The following selected accounts appear in the ledger of Diamondback Welding & Fabrication at the beginning of the current year:
Preferred 2% Stock, $175 par (70,000 shares authorized, 35,000 shares issued) | $6,125,000 |
Paid-In Capital in Excess of ParPreferred Stock | 980,000 |
Common Stock, $25 par (800,000 shares authorized, 320,000 shares issued) | 8,000,000 |
Paid-In Capital in Excess of ParCommon Stock | 1,040,000 |
Retained Earnings | 34,227,000 |
During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows:
Purchased 48,000 shares of treasury common for $28 per share.
Sold 24,000 shares of treasury common for $31 per share.
Issued 18,000 shares of preferred 2% stock at $195.
Issued 80,000 shares of common stock at $29, receiving cash.
Sold 16,000 shares of treasury common for $26 per share.
Declared cash dividends of $3.50 per share on preferred stock and $0.06 per share on common stock.
Paid the cash dividends.
Required:
Journalize the entries to record the transactions.
If an amount box does not require an entry, leave it blank.
a. | CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - |
CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - | |
b. | CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - |
CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - | |
CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - | |
c. | CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - |
CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsPreferred Stock | - Select - | - Select - | |
CashCommon StockPaid-In Capital in Excess of Par-Preferred StockRetained EarningsTreasury Stock | - Select - | - Select - | |
d. | CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - |
CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - | |
CashCommon StockPaid-In Capital in Excess of Par-Common StockRetained EarningsTreasury Stock | - Select - | - Select - | |
e. | CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - |
CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - | |
CashCommon StockPaid-In Capital from Sale of Treasury StockRetained EarningsTreasury Stock | - Select - | - Select - | |
f. | CashCash Dividends PayableCash DividendsCommon StockTreasury Stock | - Select - | - Select - |
CashCash Dividends PayableCash DividendsCommon StockTreasury Stock | - Select - | - Select - | |
g. | CashCash Dividends PayableCash DividendsCommon StockTreasury Stock | - Select - | - Select - |
CashCash Dividends PayableCash DividendsCommon StockTreasury Stock | - Select - | - Select - |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started