Hatch Company has two classes of capital stock outstanding: 7%, $20 par preferred and $5 par common. At December 31, 2014, the following accounts were included in stockholdersâ equity. Preferred Stock, 152,300 shares $ 3,046,000 Common Stock, 2,127,000 shares 10,635,000 Paid-in Capital in Excess of ParâPreferred Stock 209,700 Paid-in Capital in Excess of ParâCommon Stock 27,420,000 Retained Earnings 4,544,000 The following transactions affected stockholdersâ equity during 2015. Jan. 1 39,900 shares of preferred stock issued at $23 per share. Feb. 1 53,400 shares of common stock issued at $21 per share. June 1 2-for-1 stock split (par value reduced to $2.50). July 1 32,000 shares of common treasury stock purchased at $10 per share. Hatch uses the cost method. Sept. 15 10,200 shares of treasury stock reissued at $12 per share. Dec. 31 The preferred dividend is declared, and a common dividend of 55¢ per share is declared. Dec. 31 Net income is $2,182,000.
Hatch Company has two classes of capital stock outstanding: 7%, $20 par preferred and $5 par common. At December 31, 2014, the following accounts were included in stockholdersâ equity. Preferred Stock, 152,300 shares $ 3,046,000 Common Stock, 2,127,000 shares 10,635,000 Paid-in Capital in Excess of ParâPreferred Stock 209,700 Paid-in Capital in Excess of ParâCommon Stock 27,420,000 Retained Earnings 4,544,000 The following transactions affected stockholdersâ equity during 2015. Jan. 1 39,900 shares of preferred stock issued at $23 per share. Feb. 1 53,400 shares of common stock issued at $21 per share. June 1 2-for-1 stock split (par value reduced to $2.50). July 1 32,000 shares of common treasury stock purchased at $10 per share. Hatch uses the cost method. Sept. 15 10,200 shares of treasury stock reissued at $12 per share. Dec. 31 The preferred dividend is declared, and a common dividend of 55¢ per share is declared. Dec. 31 Net income is $2,182,000.
Related questions
The following selected accounts appear in the ledger of Patton Environmental Inc. on July 1, 2014, the beginning of the current fiscal year:
| Preferred 2% Stock, $100 par (90,000 shares authorized, 45,000 shares issued) | $4,500,000 |
| Paid-In Capital in Excess of ParâPreferred Stock | 540,000 |
| Common Stock, $15 par (700,000 shares authorized, 190,000 shares issued) | 2,850,000 |
| Paid-In Capital in Excess of ParâCommon Stock | 370,000 |
| Retained Earnings | 17,511,000 |
During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows:
Issued 70,000 shares of common stock at $18, receiving cash.
Issued 23,000 shares of preferred 2% stock at $120.
Purchased 42,000 shares of treasury common for $714,000.
Sold 21,000 shares of treasury common for $420,000.
Sold 14,000 shares of treasury common for $210,000.
Declared cash dividends of $2.00 per share on preferred stock and $0.04 per share on common stock.
Paid the cash dividends.
Journalize the entries to record the transactions.
For a compound transaction, if an amount box does not require an entry, leave it blank.
