During 2013, Company A has the following transactions involving its common and preferred stock:

Issued 20,000 shares of $8 par common stock for $26 a share; brings total shares outstanding to 50,000 shares

Issued 6,000 shares of $100 par, 6%, cumulative preferred stock for $150 per share

When market value of the common stock reached $15 a share, Company A declared a 3-for-1 stock split, reducing the par value to $188 per share

The following is required:

Prepare a journal entry for each transaction.

Issued 20,000 shares of $8 par common stock for $26 a share; brings total shares outstanding to 50,000 shares

Bank A/c ... Dr. 520000

To Share Capital A/c. 160000

To Paid in excess of par 360000

Issued 6,000 shares of $100 par, 6%, cumulative preferred stock for $150 per share

Bank A/c ... Dr. 900000

To Preferred Stock A/c. 600000

To Paid in excess of par. 300000

When the market value of the common stock reached $15 a share, company A declared a 3-for-1 stock split reducing the par value to $188 per share.

Share Capital (par value at 8) 400000

To Share Capital (par value at 2.67)

400000