11-2A Cash dividends, treasury stock, and statement of retained earnings C3 P2 P3 # Check (2) Ending retained earnings, $504,500 Kohler Corporation reports the following components of stockholders' equity at December 31, 2018. Common stock-$10 par value, 100,000 shares authorized, 40,000 shares issued and outstanding. Paid-in capital in excess of par value, common stock Retained earnings... Total stockholders' equity During 2019, the following transactions affected its stockholders' equity accounts. Jan. 2 Purchased 4,000 shares of its own stock at $20 cash per share. Jan, 5 Feb. 28 $400,000 60,000 270,000 $730,000 Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record. Paid the dividend declared on January 5. Sold 1,500 of its treasury shares at $24 cash per share. July 6 Sold 2,500 of its treasury shares at $17 cash per share. Aug. 22 Sep. 5 Oct. 28 Dec. 31 Required Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record. Paid the dividend declared on September 5. Closed the $388,000 credit balance (from net income) in the Income Summary account to Re- tained Earnings. 1. Prepare journal entries to record each of these transactions. 2. Prepare a statement of retained earnings for the year ended December 31, 2019. 3. Prepare the stockholders' equity section of the company's balance sheet as of December 31, 2019