Morrow Enterprises Inc. manufactures bathroom fixtures. Morrow Enterprises' stockholders' equity accounts, with balances on January 1, 20Y6, are as follows: Common stock, $20 stated value (500,000 shares authorized, 352,000 shares issued) Paid-In Capital in Excess of Stated Value-Common Stock Retained Earnings Treasury Stock (25,200 shares, at cost) $7,040,000 774,400 32,153,000 478,800 The following selected transactions occurred during the year: Jan. 22 Paid cash dividends of $0.05 per share on the common stock. The dividend had been properly recorded when declared on December 1 of the preceding fiscal year for $16,340. Issued 73,000 shares of common stock for $25 per share. Sold all of the treasury stock for $27 per share. Declared a 5% stock dividend on common stock, to be capitalized at the market price of the stock which is $25 per share. Issued the certificates for the dividend declared on July 5. Purchased 25,000 shares of treasury stock for $18 per share. Declared a $o.08-per-share dividend on common stock. Closed the credit balance of the income summary account, $1,223,000. Closed the two dividends accounts to Retained Earnings. Apr. Jun. Jul 10 6 5 Aug. Nov. Dec. 15 23 28 31 31 Required: 1. Enter the January 1 balances in Taccounts for the stockholders'equity accounts listed 2. Journalize the entries to record the transactions, and post to the eight selected accounts. No post ref is required in the journal. Refer to the Chart of Accounts for exact wording of account titles. When required, round your answers to the nearest dollar. 3. Prepare a retained earnings statement for the year ended December 31, 20Y6. For those boxes in which you must enter subtracted or negative numbers use a minus sign. 4. Prepare the Stockholders'Equity section of the December 31, 20Y6, balance sheet. For those boxes in which you must enter subtracted or negative numbers use a minus sign Refer to the list of Amount Descriptions provided for the exact wording of the answer choices for text entries