On January 1, 2006, Argentina Corporation had the following stockholders' equity accounts.

During the year, the following transactions occurred.
Feb. 1 Declared a $1 cash dividend per share to stockholders of record on February 15, payable March 1.
Mar. 1 Paid the dividend declared in February.
Apr. 1 Announced a 2-for-l stock split. Prior to the split, the market price per share was $36.
July 1 Declared a 10% stock dividend to stockholders of record on July 15, distributable July 31. On July 1. the market price of the stock was $13 per share.
31 Issued the shares for the stock dividend.
Dec. 1 Declared a $0.50 per share dividend to stockholders of record on December 15, payable January 5, 2007.
31 Determined that net income for the year was $350,000.
Instructions

(a) Journalize the transactions and the closing entry for net income.

(b) Enter the beginning balances, and post the entries to the stockholders' equity accounts.
(Note: Open additional stockholders' equity accounts as needed.)

(c) Prepare a stockholders' equity section at December 31.

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Common Stock ($20 par value. 75,000 shares issued and outstanding) Paid-in Capital in Excess of Par Value Retained Earnings $1,500,000 200,000 600,000