The balance sheet of Oriental Rug Company at December 31, 2008, included the following stockholders' equity:

During 2009, Oriental Rug completed the following selected transactions:

Requirements 

1. Record the transactions in the general journal.

2. Prepare the retained earnings statement for the year ended December 31, 2009.

3. Prepare the stockholders' equity section of the balance sheet at December 31, 2009.

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Paid-in capital: Common stock, $1 par, 250,000 shares authorized, 50,000 shares issued. Paid-in capital in excess of par... Total paid-in capital............... Retained earnings........ Total stockholders' equity. $ 50,000 350,000 400,000 100,000 $500,000