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Problem 11-2A (Algo) Cash dividends, treasury stock, and statement of retained earnings LO C3, P2, P3 Ched Kohler Corporation reports the following components of stockholders' equity at December 31, 2019 Common stock-$25 par value, 100,800 shares authorized, 55,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings Total stockholders' equity $1,375,000 80,000 430,000 $1,885,000 During 2020, 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 Directors declared a 54 per share cash dividend payable on February 28 to the February 5 stockholders of record Feb. 28 Paid the dividend declared on January 5. July 6 Sold 1,500 of its treasury shares at 124 cash per share. Aug 22 Sold 2,500 of its treasury shares at $17 cash per share. Sept. Directors declared 4 pee share cash dividend payable on October 23 to the September 23 stockholders of record Oct. 28 Paid the dividend declared on September 5. Dec. 31 Closed the $400,000 credit balance (from net income in the Income Summary account to Retained Earnings Required: 1. Prepare journal entries to record each of these transactions 2. Prepare a statement of retained earnings for the year ended December 31, 2020. 3. Prepare the stockholders equity section of the company's balance sheet as of December 31, 2020 in the tabs below. 1 2 3 4 5 6 78 Record the payment of the cash dividend. Note: Enter debits before credits. Date General Journal Debit Credit Feb 28