5- On January 1, 2018, HP corporation had the following stockholder's equity accounts. Preferred Stock, $100 par,6% Common Stocks $30 par value Paid in capital in excess of par Value-P/S Paid in capital in excess of par Value-C/S Retained Earnings "11 Points" $600,000 3,000,000 200,000 300,000 900,000 There were no dividends in arrears on preferred stock. During 2018, the company had the following transactions and events. May 1 Declared a $0.9 cash dividend on common stock. June 1 Discovered a $10,000 understatement of 2017 depreciation. " ignore income tax". July 1 Paid the cash dividend declared. Dec 1 Declared a 15% stock dividend on common stock when the market value of the stock was $32 per share. Dec 31 Determined that net income for the year was $100,000. Instructions A. Journalize the above transactions and the closing entries for net income and dividends. "6 Points" B. Prepare a stockholder's section at December 31,2018. Points" "5