Enter the following column headings across the top of a sheet of paper:Transaction, Cash, Other Assets, Liabilities, Paid-In Capital, REtained Earnings, Treasury Stock, Net Income
Enter the transaction letter in the first clumn and show the effect if any of each of the following transactions on each financial statement category by entering a plus (+) or minus (-) sign and the amount in the appropriate column. Do not show items that affect net income in the retained earnings column, You may write the entries to record each transaction.
a. Sold 4,100 shares of $50 par value 9% preferred stock at par.
b. Declared the annual dividend on the preferred stock.
c. Purchased 650 shares of preferred stock for the treasury at $54 per share.
d. Issued 2,000 shares of $1 par value common stock in exchange for land valued at $113,000.
e. Sold 300 shares of the treasury stock purchased in transaction c for $58 per share.
f. Split the common stock 2 for 1.