Problem 11-4A Analyzing changes in stockholders' equity accounts LO C3, P2, P3 [The following information applies to the questions displayed below.) The equity sections for Atticus Group at the beginning of the year (January 1) and end of the year (December 31) follow. Stockholders' Equity (January 1) Common stock-$6 par value, 100,000 shares authorized, 35,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings Total stockholders' equity $210,000 170,000 340,000 $720,000 Stockholders' Equity (December 31) Common stock- par value, 0,000 shares authorized, 41,200 shares issued, 4,000 shares in treasury $247,200 Paid-in capital in excess of par value, common stock 207,200 Retained earnings ($40,000 restricted by treasury stock) 420,000 874,400 Less cost of treasury stock (40,000) Total stockholders' equity $834,400 The following transactions and events affected its equity during the year. Jan. 5 Declared a $0.60 per share cash dividend, date of record January 10. Mar. 20 Purchased treasury stock for cash. Apr. 5 Declared a $0.60 per share cash dividend, date of record April 10. July 5 Declared a $0.60 per share cash dividend, date of record July 10. July 31 Declared a 20% stock dividend when the stock's market value was $12 per share. ug. 14 Issued the stock dividend that was declared on July 31. Oct. 5 Declared a $0.60 per share cash dividend, date of record October 10. Problem 11-4A Part 3 3. What is the amount of retained earnings transferred to paid-in capital accounts (capitalized) for the stock dividend? Capitalization amount Problem 11-4A Part 5 5. How much net income did the company earn this year? Net income