do the last part (D)
Natalie and her friend Curtis Lesperance decide that they can benefit from joining Cookie Creations and Curtis's coffee shop. In this part of the problem, they want your help in preparing financial information following the first year of operations of their new business. Cookie \& Coffee Creations. After establishing their company/s fiscal year-end to be October 31, Natalie and Curtis begin operating Cookie \&. Coffee Creations inc. on November 1,2020. On that date, after the issuance of shares, the paid-in capital section of the company's balance sheet is as follows. Cookie \& Coffee Creation then has the following selected transactions during its first year of operations. Dec. 1 Issues an additional 800 preferred shares to Natalie's brother for $4,000. Apr. 30 Declares a seeniannual dividend to the preferred stockholders of record on May 15, payable on June 1. June 30 Repurchases 750 shares of common stock issued to the lawyer, for $500. Recall that these were originally issued for \$750. The lawyer had decided to retire and wanted to liquidate all of her assets. Oct. 31. The company has had a very successful first year of operations. It earned revenues of $462.500 and incurred expenses of $364,050 (including $750 legal fee, but excluding income tax). 31 Records income tax expense. (The company has a 20% income tax rate) 31 Declares a semiannual dividend to the preferred stockholders of record on November 15, payable on December 1. Your answer is correct. Prepare the journal entries to record the above transactions. (Credit account titles are outomatically indented when amount is entered, Do not indent manuolly. If no entry is required, select "No Entry" for the account titles and enter Ofor the amounts. Record journal entries in the order displayed in the problem stotement.) June 30 Treasury Stock 500 Cash 500 Oct 31 Income Tax Expense 19690 Income Taxes Payable 19690 (To record income tax expense) Oct 31 Cash Dividends 700 Dividends Payable (To record dividend deelared) List of Accounts Attempts: 2 of 3 used Question Part Score 12/12 (b) Prepare the retained earnings statement for the year. (List items that increase retained earnings first. If answer is zero, please enter 0 , do not leave any field blank) Prepare the stockholders' equity section of the balance sheet as of October 31. (Enter account name only and do not provide descriptive information) Prepare closing entries. (Use Operating Expenses for Expenses) (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the occount titles and enter Ofor the amounts. Record journal entries in the order displayed in the probiem statement.) (To close cash dividends to retained earnings)
