Comprehensive Problem 4 Part 1: The following is the comprehensive problem in the textbook which encompasses all of the elements learned in previous chapters. Refer to the objectives for each chapter covered as a review of concepts. Selected transactions completed by Delhome Products Inc. during the fiscal year ending July 31, 2008, were as follows. Journalize the selected transactions. For a compound transaction, accounts should be listed largest to smallest. a. Issued 12,500 shares of $30 par common stock at $65, receiving cash. b. Issued 10,000 shares of $125 par preferred 8% stock at $160, receiving cash. c. Issued $15,000,000 of 10-year, 12% bonds at an effective interest rate of 10%, with interest payable semiannually. Use the present value tables in Appendix A to determine the bond proceeds. (Round to the nearest dollar.) d. Declared a dividend of $0.25 per share on common stock and $2.50 per share on preferred stock. On the date of record, 125,000 shares of common stock were outstanding, no treasury shares were held, and 18,750 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Redeemed $500,000 of 8-year, 15% bonds at 101. The balance in the bond premium account is $6,150 after the payment of interest and amortization of premium have been recorded. (Record only the redemption of the bonds payable.) g. Purchased 6,250 shares of treasury common stock at $62.50 per share. h. Declared a 2% stock dividend on common stock and a $2.50 cash dividend per share on preferred stock. On the date of declaration, the market value of the common stock was $63.75 per share. On the date of record, 125,000 shares of common stock had been issued, 6,250 shares of treasury common stock were held, and 18,750 shares of preferred stock had been issued. i. Issued the stock certificates for the stock dividends declared in (h) and paid the cash dividends to the preferred stockholders. j. Purchased $150,000 of Lewis Sports Inc. 10-year, 15% bonds, directly from the issuing company, for $145,500 plus accrued interest of $5,625. k. Sold, at $72.50 per share, 3,750 shares of treasury common stock purchased in (g). l. Recorded the payment of semiannual interest on the bonds issued in (c) and the amortization of the premium for six months. The amortization was determined using the straight-line method. (Round the amortization to the nearest dollar.) m. Accrued interest for four months on the Lewis Sports Inc. bonds purchased in (j). Also recorded amortization of $120.