Problem 11-26A (Algo) Recording and reporting stock transactions and cash dividends across two accounting cycles LO 11-3, 11-6 [The following information applies to the questions displayed below.] Sun Corporation received a charter that authorized the issuance of 103,000 shares of $6 par common stock and 18,000 shares of \$125 par, 8 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation. Year 1 January 5 Sold 15,450 shares of the $6 par common stock for $8 per share. January 12 Sold 1,800 shares of the 8 percent preferred stock for $135 per share. Apr 41 S Sold 20 , 600 shares of the $6 par common stock for $10 per share. December 31 During the year, earned $318,600 in cash revenue and paid $243,500 for cash operating expenses. December 31 Declared the cash dividend on the outstanding shares of preferred stock for Year 1. The dividend will be paid on February 15 to stockholders of record on January 10, Year 2. Year 2 February 15 March 3 May 5 December 31 December 31 Paid the cash dividend declared on December 31, Year 1. Sold 2,700 shares of the $125 par preferred stock for $145 per share. Purchased 600 shares of the conmon stock as treasury stock at $12 per share. During the year, earned $246,900 in cash revenues and paid $176,600 for cash operating expenses. Declared the annual dividend on the preferred stock and a $9.50 per share dividend on the cominon stock