(a) journalize transactions, events, and closing entries for net income and dividends

(b) enter the begining balances in the accounts and post to the stock holders equity accounts (note: open additional stockholders equity accounts as needed)

(c) prepare a retained earnings statement for the year

(d) prepare a stockholders equity section at dec 31, 2017

pully At Jnuary 1, 2017, follows. are Preferred Stock, 696, $50 par Common Stock, $5 par Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Par-Common Stock Retained Earnings $600,000 800,000 200,000 300,000 800,000 There were no dividends in arrears on preferred stock. During 2017, the compan following transactions and events. July 1 Declared a $0.60 cash dividend per share on common stock. Aug. 1 Discovered $25,000 understatement of depreciation expense in 2016. (Ignore income taxes.) 1 Paid the cash dividend declared on July 1. Sept. Dec. 1 Declared a 15% stock dividend on common stock when the market price of the stock was $18 per share. 15 Declared a 6% cash dividend on preferred stock payable January 15, 2018. 31 Determined that net income for the year was $355,000. 31 Recognized a $200,000 restriction of retained earnings for plant expansion