llel Ihcome of $283,000. E11-49. Analyzing and Identifying Financial Statement Effects of Dividends The stockholders' equity of Kinney Company at December 31, 2015, is shown below: 5% preferred stock, $100 par value, 10,000 shares authorized; 4,000 shares issued and outstanding $ 400,000 Common stock, $5 par value, 200,000 shares authorized; 50,000 shares issued and outstanding . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . 250,000 40,000 300,000 656,000 $1,646,000 Retained earnings The following transactions, among others, occurred during 2016. Apr. 1 Declared and issued a 100% stock dividend on all outstanding shares of common stock. Dec. 7 Dec. 20 The market value of the stock was $11 per share. Declared and issued a 3% stock dividend on all outstanding shares of common stock. The market value of the stock was $14 per share. Declared and paid (1) the annual cash dividend on the preferred stock and (2) a cash dividend of 80 cents per common share. a. b. c. d. Using the financial statement effects template, illustrate the effects of these transactions. Prepare the journal entries for these transactions. Post the journal entries from b to the related T-accounts. Prepare a 2016 retained earnings reconciliation assuming that the company reports 2016 net income of $253,000