Problem - Burke Corporation was organized on January 1, 2014. It is authorized to issue 12,700 shares of 8%, $103 par value preferred stock, and 521,400 shares of no-par common stock with a stated value of $3 per share. The following stock transactions were completed during the first year.
Jan. 10 Issued 98,800 shares of common stock for cash at $8 per share.
Mar. 1 Issued 4,200 shares of preferred stock for cash at $105 per share.
Apr. 1 Issued 18,000 shares of common stock for land. The asking price of the land was $105,000. The fair value of the land was $87,600.
May 1 Issued 84,300 shares of common stock for cash at $7.23 per share.
Aug. 1 Issued 11,100 shares of common stock to attorneys in payment of their bill of $41,500 for services provided in helping the company organize.
Sept. 1 Issued 11,200 shares of common stock for cash at $7 per share.
Nov. 1 Issued 2,490 shares of preferred stock for cash at $111 per share.
(a) Journalize the transactions.
(b) Post to the stockholders' equity accounts.