The stockholders” equity of Sayers Company at 2009 January 1, is as follows:
|
Common stock – no-par value, stated value of $20; 100,000 shares |
|
|
authorized, 60,000 shares issued |
$1,200,000 |
|
Paid-in capital in excess of stated value |
200,000 |
|
Appropriation per loan agreement |
75,200 |
|
Unappropriated retained earnings |
424,000 |
|
Treasury stock (3,000 shares at cost) |
-72,000 |
During 2009, the following transactions occurred in the order listed:
•Issued 10,000 shares of stock for USD 368,000.
•Declared a 4 percent stock dividend when the market price was USD 48 per share.
•Sold 1,000 shares of treasury stock for USD 43,200.
•Issued stock certificates for the stock dividend declared in transaction 2.
•Bought 2,000 shares of treasury stock for USD 67,200.
•Increased the appropriation by USD 43,200 per loan agreement.
Prepare journal entries as necessary for these transactions.