Problem 1 - Stockholders' Equity that authorized the issuance of 500,000 sh par, 5% cumulative preferred stock during its first two years of operations: essview Corporation received a charter quity Transactions (45 points) - Pressview Corporation received a 0,000 shares of $10 par common stock and 200,000 shares of $50 red stock. Pressview Corporation completed the following transac 2020 1/5 Sold 7 Sold 7,000 shares of the $10 par common stock for $16 per shi 12 Sold 5,000 shares of the 5% preferred stock for $60 per share. Sold 32,000 shares of the $10 par common stock for $20 per share. 11/15 Declared and distributed a 10% common stock distributed a 10% common stock dividend. The market price of the common stock on this date is $28. 12/31 Declared a cash dividend on the outstanding sna is no dividend on common stock). The dividend will be paid record on January 20, 2021. 12/31 Income summary has a credit balance of $150,000 after closing revenu the income summary account. on the outstanding shares of preferred stock for 2020 (this year there ommon stock). The dividend will be paid on February 15 to stockholders of ce of $150,000 after closing revenues and expenses. Close 2021 2/15 Paid the cash dividend declared on 12/31/20. 3/3 Sold 15,000 shares of the $50 par preferred stock for $55 per share. 5/5 Purchased 2,000 shares of the common stock as treasury stock for $25 per share. 6/20 Sold 1,200 shares of the treasury stock for $27 per share. 12/1 Sold 600 shares of the treasury stock for $20 per share. 12/31 Declared the annual dividend on the preferred stock and a $0.60 per share dividend on the common stock. The dividend will be paid on February 10 to the stockholders of record on January 18, 2022 12/31 Income summary has a credit balance of $250,000 after closing revenues and expenses. Close the income summary account. Required: Prepare journal entries for these transactions. It will be helpful to keep track of the number of preferred and common shares outstanding as you go. You will need these numbers when you calculate the amount of dividends. Prepare a Statement of Retained Earnings for the year ended 12/31/20. Prepare a Statement of Retained Earnings for the year ended 12/31/21