Milton Company's charter authorizes 1,000,000 shares of common stock and 400,000 shares of preferred stock. In its first year of operations during 2018, the company presented the following transactions:

1 Issued 5,000 shares of common stock. Stock has par value of $0.01 per share and was issued $30 per share

2 Earned Net income $200,000

3 Paid dividends of $5 per share.

Requirement 1 Prepare the journal entry to record the following a) Common stock shares issued

b)Close out net income to retained earnings

c) Dividend paid

d) Close out dividend to retained earnings

Requirement 2 Prepare the Stockholders equity section of the company's balance sheet at December 31, 2018 and include the following information

1) Information on par values 2) The number of shares authorized and issued where necessary 3)The sub 5otal for the 5otal paid in capital 4) Total Stockholders equity