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Kohler Corporation reports the following components of stockholders equity at December 31, 2018. Common stock$20 par value, 100,000 shares authorized, 50,000 shares issued and outstanding

Kohler Corporation reports the following components of stockholders equity at December 31, 2018.

Common stock$20 par value, 100,000 shares authorized, 50,000 shares issued and outstanding $ 1,000,000
Paid-in capital in excess of par value, common stock 80,000
Retained earnings 400,000
Total stockholders' equity $ 1,480,000

During 2019, the following transactions affected its stockholders equity accounts.

Jan. 2 Purchased 6,000 shares of its own stock at $20 cash per share.
Jan. 5 Directors declared a $4 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 2,250 of its treasury shares at $24 cash per share.
Aug. 22 Sold 3,750 of its treasury shares at $17 cash per share.
Sept. 5 Directors declared a $4 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, 2019. 3. Prepare the stockholders equity section of the companys balance sheet as of December 31, 2019.

______________________________________________________________________________

Required 1

Journal entry worksheet 1

  • Record the purchase of 6,000 shares of its own common stock for $20 cash per share.
Date General Journal Debit Credit
Jan 02

Journal entry worksheet 2

Record the declaration of a cash dividend of $4 per share.

Date General Journal Debit Credit
Jan 05

Journal entry worksheet 3

  • Record the payment of the cash dividend.
Date General Journal Debit Credit
Feb 28

Journal entry worksheet 4

  • Record the reissue of 2,250 shares of the treasury stock for $24 cash per share.
Date General Journal Debit Credit
Jul 06

Journal entry worksheet 5

  • Record the reissue of 3,750 shares of the treasury stock for $17 cash per share.
Date General Journal Debit Credit
Aug 22

Journal entry worksheet 6

  • Record the declaration of a cash dividend of $4 per share.
Date General Journal Debit Credit
Sep 05

Journal entry worksheet 7

  • Record the payment of the cash dividend.
Date General Journal Debit Credit
Oct 28

Journal entry worksheet 8

  • Record the entry to close the $368,000 credit balance (from net income) in the Income Summary account to Retained Earnings.
Date General Journal Debit Credit
Dec 31

__________________________________________________________________

Required 2

Prepare a statement of retained earnings for the year ended December 31, 2019. (Amounts to be deducted should be indicated by a minus sign.)

KOHLER CORPORATION
Statement of Retained Earnings
For Year Ended December 31, 2019
0
$0

__________________________________________________________________

Required 3

Prepare the stockholders equity section of the companys balance sheet as of December 31, 2019.

KOHLER CORPORATION
Stockholders' Equity Section of the Balance Sheet
December 31, 2019
Total contributed capital
Total stockholders' equity $

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