Choctaw Co. completed the following transactions in 2018, the first year of operation: 1. Issued 36,000 shares of $10 par common stock for $10 per share. 2. Issued 4,600 shares of $20 stated value preferred stock for $20 per share. 3. Purchased 2,600 shares of common stock as treasury stock for $12 per share. 4. Declared a $3,600 cash dividend on preferred stock. 5. Sold 1,800 shares of treasury stock for $14 per share. 6. Paid $3,600 cash for the preferred dividend declared in Event 4. 7. Earned cash revenues of $110,000 and incurred cash expenses of $57,000. 8. Appropriated $9,600 of retained earnings. Required a. Organize the transaction in accounts under an accounting equation. b. Prepare the stockholders' equity section of the balance sheet as of December 31, 2018. Event Assets = Liabilities Choctaw Co. Accounting Equation for the Year 2018 Stockholders' Equity Paid-in Capital In Excess Treasury Retained Treasury Stock Earnings Stock Cash Dividens Payable Preferred Stock Common Stock + Appropriated Retained Earnings Accounting Title Retained Earnings + + 1. 2. = 1 + T + + + + 3. = + + + + + + 1 4. + + + + + + 5. = + + + + + + 6. + + + - + + + + + + + + + + + - + + 7a. 7b 8. Totals + + + + + + + + + 0 = 0+ 0+ 0 + 0 0 + 0+ 0 CHOCTAW CO. As of December 31, 2018 Stockholders' equity Common stock Preferred stock Paid-in capital in excess of cost - TS 0 $ 0 Total Paid-In Capital Retained Earnings Unappropriated Appropriated Total Retained Earnings Less: Treasury Stock Total Stockholders' Equity 0 $ 0