On January 1, 2017, EX corporation had the following stockholder's equity accounts. Preferred Stock, $100 par.7% Common Stocks $4 par value Paid in capital in excess of par value-P/S Paid in capital in excess of par value-C/S $700,000 400,000 100,000 200,000 300,000 Retained Earnings There were no dividends in arrears on preferred stock. During 2017, the company had the following transactions and events. May 10 June 10 Aug 10 Aug 10 Dec 10 $15 per share. Dec 31 Instructions Declared a $0.7 cash dividend on common stock. Discovered a $20,000 understatement t of 2016 depreciation. " ignore income tax". Paid the cash dividend declared. announced a 2-for-1 stock split. Declared a 10% stock dividend on common stock when the market value of the stock was Determined that net income for the year was $400,000. A. Journalize the above transactions and the closing entries for net income and dividends. B. Prepare a stockholder's section at December 31,2017. "6 Points" "6Points