HW Problem 11.2 - Bionic Company's shareholder's equity contained the following items on 12/31/xl. .. $120,000 .. $600,000 Common Stock - $2 par value, 500,000 shares authorized, 60,000 issued and outstanding .......... Paid in Capital in Excess of Par - Common .... Preferred Stock - 10% non-cumulative, $5 par value, 90,000 shares authorized, 20,000 issued and outstanding Retained Earnings Total Shareholder's Equity $100,000 . $700.000 $1,520,000 During 20x2 Bionic had the following transactions: 1/20 Issued 10,000 additional shares of preferred stock and received $100,000. Declared dividends of $3 per share common stock with 3/15 record date and 3/31 payment date. 3/31 Paid the common dividends declared on February 2011 Purchased 20,000 of its own common shares for $180,000. 6/30 Declared preferred dividends of 10% par value. Record date is 7/15 and payment date 7/31. 7/31 Paid the preferred dividends declared June 30th 12/31 Closed $5 million of earnings from the income summary into retained earnings. a. b. Prepare journal entries for 20x2. Prepare a statement of retained earnings for the year ending 12/31/x2. Prepare the shareholder's equity section from Sonic Company's balance sheet 12/31/x2. c