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Morrow Enterprises Inc, manufactures bathroom fixtures. The stockholders equity accounts of Morrow Enterprises Inc., with balances on January 1, 2045, are as follows: $7,380,000 Common

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Morrow Enterprises Inc, manufactures bathroom fixtures. The stockholders equity accounts of Morrow Enterprises Inc., with balances on January 1, 2045, are as follows: $7,380,000 Common stock, $20 stated value (500,000 shares authorized, 369,000 shares issued) Pald-in Capital in Excess of Stated Value_Common Stock Retained Earnings Treasury Stock (23,300 shares, at a cost of $18 per share) 848,700 33,497,000 419,400 The following selected transactions occurred during the year. Jan. 22 Apr. 10 Paid cash dividends of $0.08 per share on the common stock. The dividend had been properly recorded when declared on December 1 of the preceding fiscal year for $27,656. Issued 72,000 shares of common stock for $24 per share. Sold all of the treasury stock for $26 per share, Declared a 2% stock dividend on common stock, to be capitalized at the market price of the stock which is $26 per share Jun 6 Jul 5 Instructions Aug 15 Nov 23 Issued the certificates for the dividend declared on July 5. Purchased 30,000 shares of treasury stock for $20 per share. Declared a $0.12-per-share dividend on common stock. Closed the two dividends accounts to Retained Earnings Dec. 28 31 Required: a. Enter the January 1 batances in Taccounts for the stockholders' equity accounts listed. Also prepare T accounts for the following: Paid. in Capital from Sale of Treasury Stock Stock Dividends Distributable; Stock Dividends, Cash Dividends, b. 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 the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every Nine on a jouma/ page is used for debit or credit entries. CNOW Journals wW automatically indent a credit entry when a credit amount is entered Round your final answer to the nearest dollar c. Prepare a retained earnings statement for the year ended December 31, 2045. Assume that Morrow Enterprises had net income for the year ended December 31, 2045, of $1,090,000. Be sure to complete the statement heading. Refer to the chart of accounts and the Mists of Labels and Amount Descriptions for the exact wording of text entries. A decrease to retained earnings should be entered as a negative amount d. Prepare the Stockholders Equity section of the December 31, 2045, balance sheet Refer to the chart of accounts and the lists of Labels and Amount Descriptions for the exact wording of text entries. For those boxes in which you must enter subtractive or negative numbers, use a minus sign

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