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

Common stock$15 par value, 100,000 shares authorized, 55,000 shares issued and outstanding	$	825,000
Paid-in capital in excess of par value, common stock		80,000
Retained earnings		460,000
Total stockholders' equity	$	1,365,000

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

Jan.		2		Purchased 5,500 shares of its own stock at $20 cash per share.
Jan.		5		Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record.
Feb.		28		Paid the dividend declared on January 5.
July		6		Sold 2,063 of its treasury shares at $24 cash per share.
Aug.		22		Sold 3,437 of its treasury shares at $17 cash per share.
Sept.		5		Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record.
Oct.		28		Paid the dividend declared on September 5.
Dec.		31		Closed the $368,000 credit balance (from net income) in the Income Summary account to Retained Earnings.

Required: 1. Prepare journal entries to record each of these transactions. 2. Prepare a statement of retained earnings for the year ended December 31, 2020. 3. Prepare the stockholders equity section of the companys balance sheet as of December 31, 2020.

Raphael Corporations balance sheet shows the following stockholders equity section.

Preferred stock5% cumulative, $___ par value, 1,000 shares authorized, issued, and outstanding	$	80,000
Common stock$___ par value, 4,000 shares authorized, issued, and outstanding		180,000
Retained earnings		340,000
Total stockholders' equity	$	600,000

2. If two years preferred dividends are in arrears at the current date and the board of directors declares cash dividends of $21,400, compute the total amount paid to (a) preferred shareholders and (b) common shareholders.