The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year. $8.000.000 440,000 Preferred 2% Stock, $100 par (100,000 shares authorized, 80,000 shares issued) Paid-In Capital in Excess of Par-Preferred Stock Common Stock, 65 par (5,000,000 shares authorized, 4,000,000 shares issued) Paid-In Capital in Excess of Par-Common Stock Retained Earnings 20,000,000 2.280.000 115,400,000 During the year, the corporation completed a number of transactions affecting the stockholdersequily. They are summarized as follows: > a. Issued 200,000 shares of common stock at $12, receiving cash. b. Issued 8,000 shares of proferred 2% stock at $115. c. Purchased 175,000 shares of treasury common for $10 per share. d. Sold 110.000 shares of treasury common for $14 per share o. Sold 30,000 shares of treasury common for $8 per share. 1. Declared cash dividends of $1 25 per share on preferred stock and $0.08 per share on common stock 9. Paid the cash dividends. Journalize the entries to record the transactions. Refer to the Chart of Accounts for exact wording of account titles The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year. $8.000.000 440,000 Preferred 2% Stock, $100 par (100,000 shares authorized, 80,000 shares issued) Paid-In Capital in Excess of Par-Preferred Stock Common Stock, 65 par (5,000,000 shares authorized, 4,000,000 shares issued) Paid-In Capital in Excess of Par-Common Stock Retained Earnings 20,000,000 2.280.000 115,400,000 During the year, the corporation completed a number of transactions affecting the stockholdersequily. They are summarized as follows: > a. Issued 200,000 shares of common stock at $12, receiving cash. b. Issued 8,000 shares of proferred 2% stock at $115. c. Purchased 175,000 shares of treasury common for $10 per share. d. Sold 110.000 shares of treasury common for $14 per share o. Sold 30,000 shares of treasury common for $8 per share. 1. Declared cash dividends of $1 25 per share on preferred stock and $0.08 per share on common stock 9. Paid the cash dividends. Journalize the entries to record the transactions. Refer to the Chart of Accounts for exact wording of account titles ASSETS REVENUE 410 Sales 610 Interest Revenue 110 Cash 120 Accounts Receivable 131 Notes Receivable 132 Interest Receivable 141 Inventory 145 Office Supplies 151 Prepaid Insurance 181 Land 193 Equipment 194 Accumulated Depreciation-Equipment EXPENSES 510 Cost of Goods Sold 515 Credit Card Expense 520 Salaries Expense 531 Advertising Expense 532 Delivery Expense 533 Selling Expenses 634 Rent Expense 635 Insurance Expense 536 Ofice Supplies Expense 537 Organizational Expenses 562 Depreciation Expense-Equipment 590 Miscellaneous Expense 710 Interest Expense LIABILITIES 210 Accounts Payable 221 Notes Payable 226 Interest Payable 231 Cash Dividends Payable 241 Salaries Payable 261 Mortgage Note Payable EQUITY 236 Stock Dividends Distributable 311 Common Stock 312 Paid-In Capital in Excess of Par-Common Stock 315 Treasury Stock 321 Preferred Stock 322 Paid-In Capital in Excess of Par-Preferred Stock 331 Paid-In Capital from Sale of Treasury Stock 340 Retained Earnings 351 Cash Dividends 352 Stock Dividends
