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Entries for Selected Corporate Transactions Morrow Enterprises Inc. manufactures bathroom fixtures. The stockholders' equity accounts of Morrow Enterprises Inc, with balances on January 1, 20Y5, are as follows: The following selected transactions occurred during the year: Jan. 22. Paid cash dividends of $0.13 per share on the common stock. The dividend had been properly recorded wh of the preceding fiscal year for $53,820. Apr, 10. Issued 85,000 shares of common stock for $1,530,000. June 6. Sold all of the treasury stock for $828,000. July 5. Declared a 5\% stock dividend on common stock, to be capitalized at the market price of the stock, which it Aug. 15. Issued the certificates for the dividend declared on July 5 . Nov. 23. Purchased 29,000 shares of treasury stock for $580,000. Dec. 28. Declared a $0,16-per-share dividend on common stock. 31. Closed the credit balance of the income summary account, $10,858,000. 31. Closed the two dividends accounts to Retained Earnings. Required: 1. The January 1 balances have been entered in T accounts for the stockholders' equity accounts. Record the bove transactions in the T accounts and provide the December 31 balance where appropriate. Paid-In Capital in Excess of Stated Value-Common Stock Retained Earnings Paid-In Capital from Sale of Treasury Stock Stock Dividends Distributable Stock Dividends Cash Dividends 2. Journalize the entries to record the transactions. For a compound transaction, if an amount box does not: require an entry, leave it blank. Jan. 22. Paid cash dividends of $0.13 per share on the common stock. The dividend had been properly recorded when declared on December 1 of the preceding fiscal year for $3,820. Apr. 10. Issued 85,000 shares of common stock for $1,530,000. June 6. Sold all of the treasury stock for $828,000. July 5. Declared a 5% stock dividend on common stock, to be capitalized at the market price of the stock, which is $20 per share. Aug. 15. Issued the certificates for the dividend declared on July 5. Nov. 23. Purchased 29,000 shares of treasury stock for $580,000. Dec. 28. Declared a \$0.16-per-share dividend on common stock. Dec. 31. Closed the credit balance of the income summary account, $10,858,000. ec. 31. Closed the two dividends accounts to Retained Earnings. 3. Prepare a retained earnings statement for the year ended December 31,20 r. Assume that Morrow Enterprises Inc. had net income for the year ended December 31, 20Y5, of \$10,858,000. 4. Prepare the Stockhoiders' Equity section of the December 31, 20y5, balance sheet

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