Nav-Go Enterprises Inc. produces aeronautical navigation equipment. The stockholders equity accounts of Nav-Go Enterprises Inc., with balances on January 1, 2016, are as follows:

Common Stock, $5 stated value (900,000 shares authorized, 620,000 shares issued)	$3,100,000
Paid-In Capital in Excess of Stated ValueCommon Stock	1,240,000
Retained Earnings	4,875,000
Treasury Stock (48,000 shares, at cost)	288,000

The following selected transactions occurred during the year:

Jan.	15	Paid cash dividends of $0.06 per share on the common stock. The dividend had been properly recorded when declared on December 1 of the preceding fiscal year for $34,320.
Mar.	15	Sold all of the treasury stock for $6.75 per share.
Apr.	13	Issued 200,000 shares of common stock for $8 per share.
Jun.	14	Declared a 3% stock dividend on common stock, to be capitalized at the market price of the stock, which is $7.50 per share.
Jul.	16	Issued the certificates for the dividend declared on June 14.
Oct.	30	Purchased 50,000 shares of treasury stock for $6 per share.
Dec.	30	Declared a $0.08-per-share dividend on common stock.
Dec.	31	Closed the credit balance of the income summary account, $775,000.
Dec.	31	Closed the two dividends accounts to Retained Earnings.

Required:

A.

Enter the January 1 balances in T accounts for the accounts listed.

B.

Journalize the entries to record the transactions. Refer to the Chart of Accounts for exact wording of account titles.

C.

Prepare a retained earnings statement for the year ended December 31, 2016. Enter all amounts as positive numbers. The word Less is not required. *

D.

Prepare the Stockholders Equity section of the December 31, 2016, balance sheet. Less or Deduct will automatically appear if it is required. *

* Refer to the list of Amount Descriptions provided for the exact wording of the answer choices for text entries.