Homestead Oil Corporation was incorporated on January 1, 2022, and issued the following stock for cash:

• 720,000 shares of no-par common stock were authorized; 150,000 shares were issued on January 1, 2022, at $19.00 per share.
• 280,000 shares of $120 par value, 9.00% cumulative, preferred stock were authorized; 56,000 shares were issued on January 1, 2022, at $150 per share.
• Net income for the years ended December 31, 2022 and 2023 was $1,420,000 and $2,450,000, respectively.
• No dividends were declared or paid during 2022. However, on December 27, 2023, the board of directors of Homestead declared dividends of $1,820,000, payable on February 11, 2024, to holders of record as of January 16, 2024.