Selected stock transactions Instructions Chart of Accounts Journal Instructions The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year: lsoOWN Preferred 1% Stock, $50 par (100,000 shares authorized, 81,900 shares issued) Paid-in Capital in Excess of Par-Preferred Stock Common Stock, $3 par (5,000,000 shares authorized, 1,780,000 shares issued) Paid-In Capital in Excess of Par-Common Stock Retained Earnings $4,095,000 155,610 5,340,000 1,602,000 35,256,000 During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows: Jan. Feb. 5 10 Issued 493,300 shares of common stock at $7, receiving cash. Issued 8,800 shares of preferred 1% stock at $60. May 19 16 Purchased 46,700 shares of treasury common for $7 per share. Sold 18,400 shares of treasury common for $9 per share. Sold 4,900 shares of treasury common for $6 per share. Declared cash dividends of $0.50 per share on preferred stock and $0.08 per share on common stock. Paid the cash dividends. 25 6 31 Dec. Journal Journalize the entries to record the transactions. Refer to the Chart of Accounts for exact wording of account titles. PAGE 10 JOURNAL ACCOUNTING EQUATION DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY