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Q15

Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account balances with a minus sign. Indicating to provide separate effect on accounting equation for Revenue, Operating expense, and "NA" for no effect.)

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Required information Problem 8-23 Recording and reporting stock transactions and cash dividends across two accounting cycles LO 8-3, 8-4, 8-5, 8-6 The following information applies to the questions displayed below. Sun Corporation received a charter that authorized the issuance of 97,000 shares of $8 par common stock and 20,000 shares of $100 par, 5 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation: 2018 an. 5 Sold 14,550 shares of the $8 par common stock for $10 per share. 12 Sold 2,000 shares of the 5 percent preferred stock for $110 per share. Apr. 5 Sold 19,400 shares of the $8 par common stock for $12 per share Dec.31 During the year, earned $305,600 in cash revenue and paid $241,700 for cash operating expenses. 31 Declared the cash dividend on the outstanding shares of preferred stock for 2018. The dividend will be paid on February 15 to stockholders of record on January 10, 2019 2019 Feb.15 Paid the cash dividend declared on December 31, 2018 Mar. 3 Sold 3,000 shares of the $1e0 par preferred stock for $120 per share. May. 5 Purchased 500 shares of the common stock as treasury stock at $16 per share. Dec.31 During the year, earned $250,700 in cash revenues and paid $179,400 for cash operating expenses 31 Declared the annual dividend on the preferred stock and a $0.25 per share dividend on the common stock

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