Hayslett Corporation was organized on January 1, 2011. It is authorized to issue 20,000 shares of 6%, $50 par value preferred stock, and 500,000 shares of no-par common stock with a stated value of $2 per share. The following stock transactions were completed during the first year.
Jan. 10 Issued 100,000 shares of common stock for cash at $3 per share.
Mar. 1 Issued 10,000 shares of preferred stock for cash at $55 per share.
Apr. 1 Issued 25,000 shares of common stock for land. The asking price of the land was $90,000. The fair market value of the land was $85,000.
1-May Issued 75,000 shares of common stock for cash at $4 per share.
Aug. 1 Issued 10,000 shares of common stock to attorneys in payment of their bill of $50,000 for services provided in helping the company organize.
Sept. 1 Issued 5,000 shares of common stock for cash at $6 per share.
Nov. 1 Issued 2,000 shares of preferred stock for cash at $58 per share.
a. Journalize the transactions. (For multiple debit/credit entries, list amounts from largest to smallest e.g. 10, 5, 3, 2. If amounts are the same, list alphabetically.)
b. Post to the stockholders’ equity accounts. (Use J1 as the posting reference.) (If answer is zero, please enter 0. Do not leave any fields blank.)
c. Complete the paid-in capital section of stockholders’ equity at December 31, 2011. (List entries by the format used in the text.)