On January 5, 2020, Vaughn Corporation received a charter granting the right to issue 5,500 shares of $100 par value, 8% cumulative and nonparticipating preferred stock, and 46,300 shares of $10 par value common stock. It then completed these transactions. Jan. 11 Issued 19,400 shares of common stock at $15 per share. Feb. 1 Issued to Sanchez Corp. 4,200 shares of preferred stock for the following assets: equipment with a fair value of $54,100; a factory building with a fair value of $162,000; and land with an appraised value of $274,000. July 29 Purchased 1,700 shares of common stock at $16 per share. (Use cost method.) Aug. 10 Sold the 1,700 treasury shares at $15 per share. Dec. 31 Declared a $0.25 per share cash dividend on the common stock and declared the preferred dividend. Dec. 31 Closed the Income Summary account. There was a $176,200 net income.