Part C (15 points each for a possible total of 30 points)

1.Prepare statement of retained earnings in proper form for White Corporation for the year ended December 31, 2012, from the following:

Retained Earnings, January 1, 2012$2,000

Dividends paid during the year800

Net income for the year3,000

Correction of prior year error. Purchase

of land recorded as rent expense1,000

2.Curtis Corporation's balance sheet included the following:

Common Stock, $5 par value, 5,000 shares issued

and outstanding$25,000

Retained Earnings20,000

Total Stockholders' Equity$45,000

Prepare journal entries for the following transactions.

May 3Issued 500 shares at $6 per share.

9Reacquired 100 shares at $4 per share.

15Reissued 50 of the Treasury shares at $7 per share.

17Reissued 10 of the Treasury shares at $3 per share.