1. HighRise Company reported the following amounts of contributed capital in the stockholders' equity accounts as of January 1, 2014.
Contributed capital:
Common stock, par $5, authorized 50,000 shares;
Issued and outstanding 30,000 shares $150,000
Capital in excess of par 100,000
Required:
Prepare the journal entries for the following transactions below and prepare the statement of stockholders equity as of December 31, 2014. (all the entries appear in chronological order)
a. Company sold an additional 10,000 shares of common stock at a market price of $8 per share.
b. Company issued 1,000 issues of 7% Preferred Stock for $100 per share
c. Company purchased 4,000 of its own shares at $7 per share
d. Company reporting an income of $180,000
e. Company declared a cash dividend on the preferred stock
f. Company declared a stock dividend on 10% of the common stock when the market price was $9 per share