Hammond Manufacturing Inc. was legally incorporated on January 2, 2023. Its articles of incorporation granted it the right to issue an unlimited number of common shares and 100,000 shares of $14.3 non-cumulative preferred shares. The following transactions are among those that occurred during the first three years of operations: 2023 Jan. 12 Issued 40, 450 common shares at $4.7 each. 20 Issued 5,000 common shares to promoters who provided legal services that helped to establish the company. These services had a fair value of $35,000. Issued 79,000 common shares in exchange for land, building, and equipment, which have fair market values of $359,000, $479,000, and $47,000, respectively. 31 Mar. 4 Purchased equipment at a cost of $8,150 cash. This was thought to be a special bargain price. It was felt that at least $10,700 would normally have had to be paid to acquire this equipment. Dec. 31 During 2023, the company incurred a loss of $95,000. The Income Summary account was closed. 2024 Jan. 4 Issued 4,000 preferred shares at $71 per share. Dec. 31 The Income Summary account was closed. Profit for 2024 was $215,000. 2025 Dec. 4 The company declared a cash dividend of $0.32 per share on the common shares payable on December 18 and also declared the required dividend on the preferred shares. 18 Paid the dividends declared on December 4. 31 Profit for the year ended December 31, 2025, was $190,115. The Income Summary account was closed. equired: Journalize the transactions for the years 2023, 2024, and 2025. The company does not use a cash dividends account View transaction list Journal entry worksheet

among those that occurred during the first three years of operations. 2023 Jan. 12 Issued 40,450 comon shares at $4.7 each. 20 Issued 5, 600 comon shares to promoters who provided legal services that helped to establish the company. These services had a fair value of $35,000. 31 Issued 79 , 0 eve comon shares in exchange for land, building. and equipent, which have fair market values of $359,000,$479,000, and $47,000, respectively. Mar. I Purchased equipment at a cost of $8,150 cash. This was thought to be a special barzain price. It was felt that at least $16,700 would normally have had to be paid to acquire this equipment. Dec. 31 During 2023 , the company incurred a loss of $95,000. The Incone sumary account was closed. 2024 Jan. 4 Issued 4,600 preferred shares at $7x per share. Dec. 31 The Income Sumary account was closed. Profit for 2624 was $215,000. 2025 Dec. 4 The company declared a cash dividend of $0.32 per share on the common shares payable on December 18 and also declared the required dividend on the preferred shares. 18 Paid the dividends declared on Decenber 4. 31 Profit for the year ended December 31, 2625, was \$190,115. The Income Sumary account was closed. quired: Journalize the transactions for the years 2023, 2024, and 2025. The company does not use a cash dividends account Journal entry worksheet Aectirined. Nevouraf Journat entry worksheet Foccesd to choce the income taimmary acocount. Analysis Component: Analysis Component Defermine the net assets of Hammond Manufacturing he for 20023,2024 , and 2025 is the trend favour 2. Prepare the statement of changes in equity for the yoar ended December 31, 2025 (Amounts to be de by o minus sign.) 3. Prepare the equity section on the December 31,2025 , balance sheet. Mequitreat: Aequired Hequired Journal entry worlcsheet