Stockholders' Equity: Transactions and Balance Sheet Presentation

Beaker Corporation was organized on July 1, with an authorization of 50,000 shares of $4 no-par value preferred stock ($4 is the annual dividend) and 100,000 shares of $10 par value common stock. During July, the following transactions affecting stockholders' equity occurred:

July	1	Issued 34,000 shares of common stock at $20 cash per share.
	12	Issued 3,800 shares of common stock in exchange for equipment with a fair market value of $66,000.
	15	Issued 5,300 shares of preferred stock for cash at $47 per share.

a. Prepare journal entries to record the foregoing transactions. General Journal Date Description Debit Credit Jul.01 Paid-in-Capital in Excess of Par Value Common Stock ssued shares of common stock. Jul.12 Common Stock Issued common stock for equipment. ul.15 Issued shares of preferred stock