Morrow Enterprises Inc. manufactures bathroom fixtures. The stockholders equity accounts of Morrow Enterprises Inc., with balances on January 1, 2016, are as follows: Common stock, $20 stated value; 500,000 shares authorized, 352,000 issued $7,040,000 Paid-In Capital in Excess of Stated ValueCommon Stock 774,400 Retained Earnings 32,153,000 Treasury Stock (25,200 shares, at cost) 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. Apr. 10 Issued 73,000 shares of common stock for $25 per share. Jun. 6 Sold all of the treasury stock for $27 per share. Jul. 5 Declared a 5% stock dividend on common stock, to be capitalized at the market price of the stock, which is $25 per share. Aug. 15 Issued the certificates for the dividend declared on July 5. Nov. 23 Purchased 25,000 shares of treasury stock for $18 per share. Dec. 28 Declared a $0.08-per-share dividend on common stock. 31 Closed the credit balance of the income summary account, $1,223,000. 31 Closed the two dividends accounts to Retained Earnings.