Choctaw Company completed the following transactions in Year $1,$ the first year of operation:

Issued $25,000$ shares of $$15$ par common stock for $$15$ per share.

Issued $3,500$ shares of $$25$ stated value preferred stock for $$25$ per share.

Purchased $1,500$ shares of common stock as treasury stock for $$17$ per share.

Declared a $$2,500$ cash dividend on preferred stock.

Sold $900$ shares of treasury stock for $$19$ per share.

Paid $$2,500$ cash for the preferred dividend declared in Event $4.$

Earned cash revenues of $$88,000$ and incurred cash expenses of $$46,000.$

Closed revenue, expense, and dividend accounts to the retained earnings account.

Appropriated $$8,500$ of retained earnings.

Required

a$-1.$ Prepare journal entries to record these transactions.

a$-2.$ Post the entries to T$-$accounts.

b$.$ Prepare a balance sheet as of December $31,$ Year $1.$

Complete this question by entering your answers in the tabs below.

Req A$1$

Prepare journal entries to record these transactions. $($Do not round your intermediate calculations. If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.$)$

Inurnal entrv workcheet