On January 1, 2022, the stockholders equity section of Jayhawk Corporations balance sheet showed the following Preferred stock, $100 par value, 5%, 50,000 shares authorized, 5,000 shares issued and outstanding $500,000 Paid in capital in excess of par, Preferred Stock 100,000 Common stock, $3 par value, 500,000 shares authorized, 20,000 shares issued and outstanding 60,000 Paid in capital in excess of par, Common Stock 250,000 Total contributed Capital 910,000 Retained Earnings 320,000 Total Stockholders' Equity $1,230,000

During the year, 2022, the following transactions occurred: February 2 Issued 600 shares of common stock for $16 per share. April 15 Issued 1,000 shares of preferred stock for $125 per share. September 15 Declared dividends of $60,000 to be paid on October 31, 2022. October 31 Paid the dividends declared on September 15.

Required (10 points): a. Prepare journal entries to record the above transactions. b. Assuming that net income was $93,000, prepare the stockholders equity section of the balance sheet at December 31, 2022.