Chapter 20, Problem 7SPB

STATED VALUE, COMMON AND PREFERRED STOCK, AND NONCASH ASSETS Dan’s Hobby Stores had the following stock transactions during the year:

1. (a) Issued 5,000 shares of no-par common stock with a stated value of $10 per share for $50,000 cash.
2. (b) Issued 6,000 shares of no-par common stock with a stated value of $10 per share for $63,000 cash.
3. (c) Issued 3,500 shares of no-par, 6% preferred stock with a stated value of $22 per share for $77,000 cash.
4. (d) Issued 10,000 shares of $10 par common stock for land with a fair market value of $100,000.
5. (e) Issued 11,000 shares of $10 par common stock with an $11 fair market value for a building with an uncertain fair market value.
6. (f) Issued 8,000 shares of $30 par, 6% preferred stock for land with a fair market value of $243,000.

REQUIRED

Prepare general journal entries for these transactions, identifying each by letter.