OUESTION (25 marks) The following information was obtained from Ryan's Racetrack Corporation records on December 3 1, 2020. Preferred Shares, $2 cumulative*, 25,000 shares authorized, 22,000 issued $738,000 Common Shares, unlimited authorization, 60,000 shares issued Retained Earnings *2019 and 2020 dividends in arrears Required: $900,000 $560,000 l. Prepare journal entries for the following selected transactions during 2021. (8 marks) 2. Prepare the Statement of Changes in Shareholders' Equity for 2021. (8 marks) 3. Prepare the shareholders' equity section of the Balance Sheet at December 31, 2021. (6 marks) 4. Assume that on Januaty 15, 2022, Ryan repurchases and retires 2,000 common shares at $13 per share. Prepare the journal entry. Assume no new shares were issued thus far in 2022. (3 marks) Jan. 14 Mar. I Apr.30 June I Aug.31 Nov.20 Dec.31 Declared a $150,000 cash dividend, payable on March I to the shareholders of record on January 31 .(indicate the amount payable to each class of shareholder) Paid the cash dividends declared on Jan. 14 Declared a share dividend on the common shares distributable June I to the shareholders of record on May 15. Market value was $15.00 on Apr. 30. Distributed the share dividend declared on April 30 Issued 6,000 shares of the company's common stock at $18.00 per share. Issued 1,000 preferred shares at $36 per share. Reported net income of $278,000. Close the income summary account