Donnie Hilfiger has two classes of stock authorized: $ par preferred and $ par value common. As of the beginning of shares of preferred stock and shares of common stock have been issued. The following transactions affect stockholders' equity during :
March Issue shares of common stock for $ per share.
May Purchase shares of treasury stock for $ per share.
July Resell shares of treasury stock purchased on May for $ per share.
October Issue shares of preferred stock foij $ per share.
December
Declare a cash dividend on both common and preferred stock of $ per share to all stockholders of record on December Hint: Dividends are not paid on treasury stock.
December Pay the cash dividends declared on December
Donnie Hilfiger has the following beginning balances in its stockholders' equity accounts on January : Preferred Stock, $; Common Stock, $; Additional Paidin Capital, $; and Retained Earnings, $ Net income for the year ended December is $
Required:
Record each of these transactions.
