Kroll Corporation reports the following components of shareholders' equity on December 31, 2015. Share capital - Ordinary. $25 par value: 40,000 shares authorized: 30,000 shares issued and outstanding Share Premium-Ordinary Retained earnings Total shareholders' equity $ 750,000 50.000 260,000 $1.060,000 In year 2016, the following transactions affected its shareholders' equity accounts. Jan. 2 Purchased 2,000 of its own shares at $25 cash per share. Jan. 7 Directors declared a $2 per share cash dividend payable on February 28 to the February 9 shareholders of record. Feb. 28 Paid the dividend declared on January 7. July 9 Sold 500 of its treasury shares at $30 cash per share. Aug. 27 Sold 1,500 of its treasury shares at $23 cash per share. Sept. 9 Directors declared a $2 per share cash dividend payable on October 22 to the September 23 shareholders of record. Oct. 22 Paid the dividend declared on September 9. Dec. 31 Closed the $8,000 credit balance (from net profit) in the Income Summary account to Retained Earnings. Required 1. Prepare journal entries to record each of these transactions for 2016. 2. Prepare a statement of changes in equity for the year ended December 31, 2016. 3. Prepare the shareholders' equity section of the company's statement of financial position as a December 31, 2016. 6