On March 1, 20xx, Carmel Corporation began operations with a charter from the state that authorized 100,000 shares of $4 par value common stock. Over the next quarter, the firm engaged in the transactions that follow. Mar. 1 Issued 30,000 shares of common stock, $200,000. 2 Paid fees associated with obtaining the charter and starting up and organizing the corporation, $24,000. Apr. 10 Issued 13,000 shares of common stock, $130,000. 15 Purchased 5,000 shares of common stock, $50,000 May 31 The board of directors declared a $.20 per share cash dividend to be paid on June 15 to shareholders of record on June 10. Required 1. Record the above transactions in T accounts. 2. Prepare the stockholders equity section of Carmel Corporations balance sheet on May 31, 20xx. Net income earned during the first quarter was $30,000. 3. User Insight: What effect, if any, will the cash dividend declaration on May 31 have on Carmel Corporations net income, retained earnings, and cash flows?