0-5A STOCKHOLDERS’ EQUITY SECTION After closing its books on December 31, Pro
Parts’ stockholders’ equity accounts had the following balances:
Common stock subscriptions receivable $ 5,000
Common stock, $5 par, 12,000 shares 60,000
Preferred stock, $10 par, 4%, 4,000 shares 40,000
Common stock subscribed, $5 par, 3,000 shares 15,000
Paid-in capital in excess of par-common stock 4,000
Retained earnings 35,000
Prepare the stockholders’ equity section of the balance sheet.
20-7A STATED VALUE, COMMON AND PREFERRED STOCK, AND NONCASH
ASSETS Kris Kraft Stores had the following stock transactions during the year:
(a) Issued 4,000 shares of no-par common stock with a stated value of $10 per share
for $40,000 cash.
(b) Issued 6,000 shares of no-par common stock with a stated value of $8 per share
for $50,000 cash.
(c) Issued 5,000 shares of no-par, 6% preferred stock with a stated value of $15 per
share for $75,000 cash.
(d) Issued 3,000 shares of no-par, 6% preferred stock with a stated value of $20 per
share for $58,000 cash.
(e) Issued 10,000 shares of $5 par common stock for land with a fair market value
(f) Issued 10,000 shares of $8 par common stock with a $9 fair market value for a
building with an uncertain fair market value.
(g) Issued 8,000 shares of $50 par, 8% preferred stock for land with a fair market
value of $405,000.
Prepare general journal entries to record the transactions, identifying each transaction