INSTRUCTIONS: 1. Record the preceding transactions in journal form. Use the transaction numbers as dates . 2. Prepare the stockholders equity section of the companys balance sheet on June 30, 20X2 .

Answer the following question: The stockholders' equity of the Szarkowski Company on June 30 20X1 is shown below. Contributed Capital Common stock, no par value, $6 stated value, 1,000,000 authorised, 250,000 shares issued and outstanding Paid-in Capital in Excess of Stated Value, Common $1,500,000 820,000 Total Contributed Capital $2,320.000 970,000 Retained Earnings Total Stockholders' Equity $3,290,000 Stockholders' equity transactions for the next fiscal year were as follows: 1. Issued 12,000 shares of common for a building appraised at $96,000. 2. Purchased 8,000 shares of the company's common stock for $64,000. 3. Sold 5,000 shares of treasury stock for $35,000. 4. Declared cash dividends of $0.20 per share on common stock. 5. Paid the common stock cash dividends. 6. Declared a 10 percent stock dividend on common stock. The market value was $10 per share. 7. Distributed the stock dividends. 8. Closed the Cash Dividends Declared and Stock Dividends Declared accounts to Retained Earnings