1. Record the transactions in the general journal. 

2. Prepare a retained earnings statement for the year ended December 31, 2021. Net income for the year was $87,000.All construction was completed on October 31. Prepare the year-end journal entry to record depreciation expense assuming no depreciation has been recorded yet.

3.  Prepare the stockholders' equity section of the balance sheet at December 31, 2021.

Part 1: Record Transactions

Choose from the following list to use for the statement.

•             Stock Dividends

•             Paid-In Capital in Excess of Par—Common

•             Common Stock Dividend Distributable

•             Common Stock Dividend Distributable

•             Common Stock—$10 Par Value

•             Treasury Stock—Common

•             Checking

•             Cash Dividends

•             Dividends Payable—Common

•             Cash

Part 2: Prepare Retained Earning Statement year end Dec. 31, 2021

Choose from the following list to use for the statement.

•             Retained Earnings, January 1, 2020

•             Stock dividends declared

•             Net income for the year

•             Retained Earnings, December 31, 2021

•             Cash dividends declared

Part 3: Prepare the stockholders’ equity section of balance sheet at Dec. 31, 2021

Choose from the following list to use for the statement.

•             Paid-In Capital

•             Total Stockholders' Equity

•             Common Stock—$10 Par Value

•             shares authorized

•             Paid-In Capital in Excess of Par—Common

•             shares outstanding

•             Total Paid-In Capital

•             shares at cost

•             Retained Earnings

•             shares issued

•             Treasury Stock—Common

6-Feb: declared 5% stock dividend. The market value of the stock on that date was $25 a share

15- Feb: Distributed the stock dividend

29- July: Purchased 2,000 shares treasury stock at $25 a share

27-Nov: Declared a cash dividend of .20 a share

Common stock- $10 PV; 200,000 shares authorized, 22,000 shares issued- credit balance 220,000

Paid-In capital- 360,000 credit balance

Retained Earnings- 163,000 credit balance