Selected Stock Transactions Diamondback Welding & Fabrication Corporation sells and services pipe welding equipment in Illinois. The following selected accounts appear in the edge of Diamondback Welding & Fabrication at the beginning of the current years Preferred 2. Stock, 3200 par (90,000 shares authorized, 45,000 shares issued) 39,000,000 Paid in Capital in Excess of Par-Preferred Stock 1,080,000 Common Stock, $25 par (700,000 shares authorized, 270,000 shares issued) 6,750,000 Pald-In Capital in Excess of Par-Common Stock 380,000 Retained Earnings 37,545.000 During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows: Purchased 42,000 shares of treasury common for $27 per share. b. Sold 21,000 shares of treasury common for $30 per share Issued 23,000 shares of preferred 2 stock at $217 d. Issued 70,000 shares of common stock at $30, receiving cash e. Sold 14,000 shares of treasury common for $25 per share f. Declared cash dividends of $4,00 per share on preferred stock and $0.10 per share on common stock Paid the cash dividends. Required Th 12 problem set Content Area Journalize the entries to record the transactions If an amount box does not require an entry, leave it blank a. Treasury Stock Cash If an amount box does not require an entry, leave it blank. Treasury Stock 1,134,000 Cash 1,134,000 630,000 b. Cash Treasury Stock 273,000 Paid-In Capital from Sale of Treasury Stock 357,000 4,991,000 Cash Preferred Stock 4,600,000 Paid-In Capital in Excess of Par-Preferred Stock 391,000 Cash 2,100,000 Common Stock 1,750,000 Paid-In Capital in Excess of Par-Common Stock 350,000 Cash 350,000 Paid-In Capital from Sale of Treasury Stock 168,000 X Treasury Stock 182,000 Cash Dividends Cash Dividends Payable Color Printem Paid In Capital in Excess of Par-Common Stock y C 350.000 Cash Paid-In Capital from Sale of Treasury Stock Treasury Stock # Cash Dividends Cash Dividends Payable Cash Dividends Payable Cashv G uy Wir (a) At what we should the treasury shares be recorded at par or the price paid? (b) & (e) Are the treasury shares being resold at a value higher than or lower than the amount that the company paid for the shares? (c) & (d) At what value de common and preferred stock accounts have to be recorded? (1) On the date of declaration of a cash dividend, the corporation is legally obligated to pay that dividend. Keep in mind the previous stock transactions that have occurred would these transactions have any effect on the amount of the cash dividend? (o) What will the stockholders receive from the company on this date