Alyssa Weld, owner of Happy Camper Company, decides to start a new company that will be operated as a corporation, Earth Rock Incorporated (ERI). This company will sell outdoor clothing and equipment. The articles of incorporation for ERI authorize the company to issue 500,000 preferred shares that pay a dividend of $4.00 per year and 1,000,000 common shares. ERI had the following select transactions in 2022: (Click the icon to view the transactions.) Required Requirement 1. Journalize the transactions. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Jan. 1: Issued 52,000 common shares for a total of $364,000. Date Jan. 1 Cash Accounts and Explanation Common Shares Dividends Payable-Common Debit Credit Jan 10: Issued 2,350 preferred shares in exchange for land with a market value of $68,500. Date Jan. 10 Land Accounts and Explanation Preferred Shares Dividends Payable-Preferred Debit Credit Date Jan. 10 Land Preferred Shares Accounts and Explanation Debit Credit Dividends Payable-Preferred Dec. 15: Declared total cash dividends of $16,000. Date Accounts and Explanation Debit Credit Dec. 15 Retained Earnings Dividends Payable-Preferred Dividends Payable-Common Dec. 31: Paid the cash dividends. Dec. 31: Paid the cash dividends. Date Accounts and Explanation Debit Credit Dec. 31 Retained Earnings Dividends Payable-Common Requirement 2. Calculate the balance in Retained Earnings on December 31, 2022. Assume net income for the year was $481,000. Complete the table below to calculate the balance in Retained Earnings on December 31, 2022. (Complete all answer boxes. Enter a "0" for any zero balances.) Retained Earnings, Jan. 1, 2022 Plus: Net income Less: Cash dividends declared Retained Earnings, Dec. 31, 2022 Requirement 3. Prepare the shareholders' equity section of the balance sheet as of December 31, 2022. Requirement 3. Prepare the shareholders' equity section of the balance sheet as of December 31, 2022. Review the journal entries from Requirement 1. Earth Rock Incorporated Balance Sheet (Partial) December 31, 2022 Contributed capital: Common shares shares issued and outstanding shares at cost Preferred shares shares issued and outstanding shares at cost Total contributed capital Retained earnings Total shareholders' equity Required 1. Journalize the transactions. 2. Calculate the balance in Retained Earnings on December 31, 2022. Assume net income for the year was $481,000. 3. Prepare the shareholders' equity scction of the balance sheet as of December 31, 2022. Print Done