Peck corporation is authorized to issue 20.000 shares of $50 par value, 10% perferred stock and 125.000 shares of $5 par value common stock. On january 1, 2017, the ledger contained the following stockholders' equity balances

P13-4A Peck Corporation is authorized to issue 20,000 shares of $50 par value, 10% pre. ferred stock and 125,000 shares of $5 par value common stock. On January 1, 2017, the ledger contained the following stockholders' equity balances. Preferred Stock (10,000 shares) Paid-in Capital in Excess of Par-Preferred Stock Common Stock (70,000 shares) Paid-in Capital in Excess of Par-Common Stock Retained Earnings $500,000 75,000 350.000 700.000 300,000 During 2017, the following transactions occurred, Feb. 1 Mar. 1 July 1 Sept. 1 Issued 2,000 shares of preferred stock for land having a fair value of $120,000. Issued 1,000 shares of preferred stock for cash at $65 per share. Issued 16,000 shares of cornmon stock for cash at $7 per share. Issued 400 shares of preferred stock for a patent. The asking price of the patent was $30,000. Market price for the preferred stock was $70 and the fair value for the patent was indeterminable. Issued 8,000 shares of common stock for cash at $7 50 per share. Net income for the year was $260,000. No dividends were declared. Dec. 1 Dec. 31 Instructions (a) Journalize the transactions and the closing entry for net income. (b) Enter the beginning balances in the accounts, and post the journal entries to the stock- holders' equity accounts. (Use J2 for the posting reference.) (c) Prepare a stockholders' equity section at December 31, 2017