At the beginning of 2024, Taylor Corporation had the following stockholders' equity balances in its general ledger: Common Stock, $10 Par Value $2,500,000 Paid-In Capital in Excess of Par: Common 500,000 Paid-In Capital, Treasury Stock 3,000 Paid-In Capital, Stock Options 45,000 Retained Earnings 3,000,000 Treasury Stock (12,000 shares) (180,000) Total Stockholders' Equity $5,868,000 The paid-in capital from stock options relates to options granted on 1/1/20 to the CEO as incentive compensation. As of 1/1/24, the remaining expected benefit period is ten years; expense has been and will be recorded evenly over the benefit period. The following events were among the many occurring in 2024: a. January 2: Purchased 10,000 shares of its common stock for $18 per share. Brown uses the cost method of accounting for treasury stock transactions. b. February 1: Declared and paid a cash dividend of $3 per share on the outstanding common stock. (Hint: Don't forget to consider Treasury Stock existing on 1/1/24 when computing outstanding shares.) c. April 1: Issued 18,000 shares of $55 par, noncumulative, convertible 6% preferred stock for $60 per share, where one share of preferred stock is convertible into two shares of common stock. d. July 1: 2,000 shares of treasury stock that had been purchased in a prior year for $14 per share were re-issued for $6 per share. e. August 1: Holders of 4,000 shares of the preferred stock converted their shares into common stock when the market value of the common stock was $16 per share. Brown uses the book value method of accounting for conversions. f. October 1: Declared and distributed a 1% stock dividend on common stock outstanding when the market price of the stock was $20 per share. g. November 1: Issued a lump-sum of 2,000 shares of preferred stock and 10,000 shares of common stock for $300,000. Per-share market values were $50 (preferred) and $15 (common). h. December 1: Declared and distributed a property dividend of land to preferred shareholders. The land had a fair value of $39,000 and a carrying value of $41,000. i. December 31: Recorded 2024 compensation expense related to the stock options.