AIM Inc. showed the following equity account balances on the December $31,2019,$ balance sheet:

During $2020,$ the following selected transactions occurred:

Feb. $10$ Repurchased and retired $159,000$ common shares at $$10\mathrm{.}00$ per share; this is the first retirement recorded by

May $15$ Declared a $2$:$1$ share split to shareholders of record on June $1,$ distributable June $15.$

Dec. $1$ Declared a $104$ share dividend to shareholders of record on December $10,$ distributable December $20.$ The narket

prices of the shares on December $1,$ December $10,$ and December $20$ were $$6\mathrm{.}00$$$7\mathrm{.}10,$ and $$5\mathrm{.}50,$ respectively.

$20$ Distributed the share dividend declared December $1.$

$31$ closed the credit balance of $$801,839$ in the Income Sumnary account.

Required:

a$.$ Journalize the transactions above $($assuming the retirements were the first ever recorded by AIM Inc.$).$ The company does not use a

share dividends account. $($If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.$)$

Answer is complete but not entirely correct.

Answer is complete and correct.

b$.$ Prepare the equity section on the December $31,2020,$ balance sheet.

Answer is complete but not entirely correct.