Que. The SCSE & Co was authorized to issue 80,000 shares of Rs 100 par value, 8% cumulative preferred stock and 400,000 shares of Rs 2 par value common stock. The following transactions were occurred during the year.

Jan 1. Issued for cash 45,000 shares of common stock at par per value.

Jan 5. Issued for cash 50,000 shares of common stock at Rs 10 per share.

Jan 7. Issued an additional 1,000 shares of common stock to Rashid & Co in exchange for their services in organizing the corporation.

Jan 10. Acquired land in exchange for 25,000 preference shares.

Jan 12. Acquired land Rs 50,000 in exchange for 15,000 common shares.

Jan 15. The first annual divided of Rs 8 was declared on the preferred stock to be paid.

Jan 20.Cash dividend was declared to equity shareholder Rs 0.7 per share.

Nov 15.The first annual divided of Rs was paid.

Dec 20. Paid cash divided to equity shareholders.

Net income for the year amounted to Rs 2,000,000

Required:

A. Record the above transactions in general journal.

B. Prepare Stock holder's equity Section of balance sheet.