Question - Norris Corporation was organized on January 1, 2007. It is authorized to issue 20,000 shares of 6%, $50 par value preferred stock and 500,000 shares of no-par common stock with a stated value of $1 per share. The following stock transactions were completed during the first year.

Jan. 10 Issued 60,000 shares of common stock for cash at $4 per share.

Mar. 1 Issued 12,000 shares of preferred stock for cash at $54 per share.

May 1 Issued 100,000 shares of common stock for cash at $5 per share.

Sept. 1 Issued 5,000 shares of common stock for cash at $6 per share.

Nov. 1 Issued 2,000 shares of preferred stock for cash at $56 per share.

Instructions

(a) Journalize the transactions.

(b) Post to the stockholders' equity accounts. (Use T accounts.)

(c) Prepare the paid-in capital portion of the stockholders' equity section at December 31, 2007.