he stockholders' equity section of James Corporation's balance sheet as of December 31, 2019 is as follows:

Stockholders' Equity

Common stock, $5 par value; authorized, 2,000,000 shares;

issued, 400,000 shares $2,000,000

Paid-in capital in excess of par 850,000

Retained earnings 3,000,000

$5,850,000

The following events occurred during 2020:

1. Jan. 5 20,000 shares of authorized and unissued common stock were sold for $8 per share.

2. Jan. 16 Declared a cash dividend of 20 cents per share, payable February 15 to stock-holders of record on February 5.

3. Feb. 10 30,000 shares of authorized and unissued common stock were sold for $12 per share.

4. March 1 A 30% stock dividend was declared and issued. Fair value per share is currently $15.

5. April 1 A two-for-one split was carried out. The par value of the stock was to be reduced to $2.50 per share. Fair value on March 31 was $18 per share.

6. July 1 A 15% stock dividend was declared and issued. Fair value is currently $10 per share.

7. Aug. 1 A cash dividend of 20 cents per share was declared, payable September 1 to stockholders of record on August 21.

Instructions

Enter the above events into the following work sheet showing how each event affects the column. Event No. 1 will serve as an example.

Common Stock

No. of Total Paid-in Capital In

Item Shares Issued Par Value Excess of Par Retained Earnings

Beginning Balance1/1/20 400,000 $2,000,000 $850,000 $3,000,000

Event #1Jan. 5 20,000 100,000 60,000 -0-

Balance 420,000 $2,100,000 $910,000 $3,000,000

Event # 2Jan. 16 (and events 3 through 7)