Kohler Corporation reports the following components of stockholders' equity at December 31, 2019.

Common stock$10 par value, 100,000 shares authorized,

40,000 shares issued and outstanding$400,000Paid-in capital in excess of par value, common stock60,000Retained earnings270,000Total stockholders' equity$730,000

During 2020, the following transactions affected its stockholders' equity accounts.

Jan.2Purchased 4,000 shares of its own stock at $20 cash per share.Jan.5Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record.Feb.28Paid the dividend declared on January 5.July6Sold 1,500 of its treasury shares at $24 cash per share.Aug.22Sold 2,500 of its treasury shares at $17 cash per share.Sept.5Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record.Oct.28Paid the dividend declared on September 5.Dec.31Closed the $388,000 credit balance (from net income) in the Income Summary account to Retained Earnings.

Required:

1.Prepare journal entries to record each of these transaction

a statement of retained earnings for the year ended December 31, 2020.

3.Prepare the stockholders' equity section of the company's balance sheet as of December 31, 2020.