Patrick Corporation is authorized to issue 1,000,000 shares of $1 par value common stock.
During 2010, the company has the following stock transactions.
Jan. 15 Issued 500,000 shares of stock at $7 per share.
Sept. 5 Purchased 20,000 shares of common stock for the treasury at $8 per share.
Dec.6 Declared a $0.50 per share dividend to stockholders of record on December 20, payable January 3, 2011.
Journalize the transactions for Patrick Corporation. Explain each journalized transaction in words.