The Staples Company had the following transactions occur during 2015: Retained Earnings has a credit balance of $100,000:

• (a) Issued 8,000 shares of common stock to the founders for land valued at $275,000. Par value of the common stock is $1 per share.

• (b) Issued 4,000 shares of $100 par preferred stock for cash at $120 per share.

• (c) Sold 2,500 shares of common stock to the company president for $45 per share.

• (d) Purchased 750 shares of outstanding preferred stock issued in (b) for cash at par.

• (e) Purchased 2,000 shares of the outstanding common stock issued in (a) for $39 per share.

• (f) Reissued 400 shares of repurchased preferred stock at $112.

• (g) Reissued 500 shares of reacquired common stock for $45 per share.

• (h-1) Repurchased 200 shares of the common stock sold in (g) for $43 per share.
• (h-2)These same 200 shares were later reissued for $40 per share.

(i) A dividend of $3 per share was declared on outstanding preferred stock.

INSTRUCTIONS:

1. Prepare the necessary entries for the common stock transactions assuming that the cost method is used for recording treasury stock.