Problem 13-04A a-c (Part Level Submission) (Video) Whispering Winds Corporation is authorized to issue 22,500 shares of $50 par value, 10% preferred stock and 130,000 shares of $5 par value common stock. On January 1, 2020, the ledger contained the following stockholders' equity balances Preferred Stock (10,500 shares) Paid-in Capital in Excess of Par-Preferred Stock Common Stock (68,500 shares) Paid-in Capital in Excess of Par-Common Stock Retained Earnings $525,000 73,500 342,500 700,000 310,000 During 2020, the following transactions occurred. Feb. 1 Issued 2,000 shares of preferred stock for land having a fair value of $125,000. Mar. 1 Issued 1,300 shares of preferred stock for cash at $70 per share. July 1 Issued 16,000 shares of common stock for cash at $7 per share. Sept. 1 Issued 400 shares of preferred stock for a patent. The asking price of the patent was $28,000. Market price for the preferred stock was $70 and the fair value for the patent was indeterminable. Dec. 1 Issued 8,000 shares of common stock for cash at $7.50 per share. Dec. 31 Net income for the year was $260,000. No dividends were declared. (a) Your answer is correct. Journalize the transactions and the desing entry for net income. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually.) (c) Prepare a stockholders' equity section at December 31, 2020. (Enter the account name only an information provided in the question.) Debit Credit Date Treb. 1 Account Titles and Explanation Land 125000 f WHISPERING WINDS CORPORATION Balance Sheet (Partial) | Preferred Stock 100000 Paid-in Capital in Excess of Par-Preferred Stock Mer 17 T 91000 T cash Preferred Stock P2P2== 65000 | Paid-in Capital in Excess of Par-Preferred Stock 1 112000 Cash Common Stock 30000 I Paid-in Capital in Excess of Par-Common Stock Patents i 280001 i Preferred Stock 20000 T Paid-in Capital in Excess of Par-Preferred Stock Dec. 1 1 60000 Cash Common Stock L 40000 T Paid-in Capital in Excess of Par-Common Stock 31 Income Summary | 250000 ings Click if you would like to Show Work for this question: Open Show Work C 2 50000 Click if you would like to Show Work for this question: Open Show Work