Reference no: EM133052160

Question - Diamondback Welding & Fabrication Corporation sells and services pipe welding equipment in Illinois. The following selected accounts appear in the ledger of Diamondback Welding & Fabrication at the beginning of the current year:

Preferred 2% Stock, $200 par (40,000 shares authorized, 20,000 shares issued) $4,000,000

Paid-In Capital in Excess of Par-Preferred Stock 480,000

Common Stock, $25 par (500,000 shares authorized, 280,000 shares issued) 7,000,000

Paid-In Capital in Excess of Par-Common Stock 910,000

Retained Earnings 26,267,000

During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows:

1. Purchased 30,000 shares of treasury common for $27 per share.

2. Sold 15,000 shares of treasury common for $30 per share.

3. Issued 10,000 shares of preferred 2% stock at $213.

4. Issued 50,000 shares of common stock at $32, receiving cash.

5. Sold 10,000 shares of treasury common for $25 per share.

6. Declared cash dividends of $4.00 per share on preferred stock and $0.10 per share on common stock.

7. Paid the cash dividends.

Required - Journalize the entries to record the transactions. If an amount box does not require an entry, leave it blank.