Problem 13-2A Cash dividends, treasury stock, and statement of retained earnings LO C3, P2, P3 Kohler Corporation reports the following components of stockholders' equity at December 31, 2018 Common stock-$15 par value, 100,000 shares authorized, 40,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings Total stockholders' equity $ 600,000 70,000 370,000 $1,040,000 During 2019, the following transactions affected its stockholders' equity accounts, Jan. 2 Purchased 5,500 shares of its own stock at $25 cash per share. Jan. 5 Directors declared a $6 per share cash dividend payable on February 28 to the February 5 stockholders of record. Teb. 28 Paid the dividend declared on January 5. July 6 Sold 2,063 of its treasury shares at $29 cash per share. Aug 22 Sold 3, 437 of its treasury shares at $22 cash per share. Sept. 5 Directors declared a $6 per share canh dividend payable on October 28 to the September 25 stockholders of record Det. 28 Paid the dividend declared on September 5. Doc. 31 Cloued the $388,000 credit balance (tton net incone) in the Income Summary account to Retained Earnings. Required: 1. Prepare journal entries to record each of these transactions 2. Prepare a statement of retained earnings for the year ended December 31, 2019, 3. Prepare the stockholders' equity section of the company's balance sheet as of December 31, 2019 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare journal entries to record each of these transactions, View transaction list Journal entry worksheet > View transaction list Journal entry worksheet 6 7 8 Record the declaration of a cash dividend of $6 per share. Note: Enter debits before credits. Date General Journal Debit Credit Jan 05 Record entry Clear entry View general Journal Prepare journal entries to record each of these transactions. View transaction list Journal entry worksheet > 1 2 3 4 5 6 7 8 Record the payment of the cash dividend. Note: Enter debits before credits Debit Credit Date General Journal Feb 28 Record entry Clear entry View general Journal namioad2 Prepare journal entries to record each of these transactions. View transaction list Journal entry worksheet Prepare journal entries to record each of these transactions, View transaction list Journal entry worksheet View transaction list Journal entry worksheet 8 8 Record the declaration of a cash dividend of $6 per share. Note: Enter debits before credits Date General Journal Debit Credit Sep 05 Record entry Clear entry View general Journal Required 2 View transaction list Journal entry worksheet Record the entry to close the $388,000 credit balance (from net income) in the Income Summary account to Retained Earnings. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 Record entry Clear entry View general Journal Jan. 5 Directors declared a $6 per share cash dividend payable on February 28 to the February 5 stockholders of record. Feb. 28 Paid the dividend declared on January 5. July 6 Sold 2.063 of its treasury shares at $29 cash per share. Aug. 22 Sold 3,437 of its treasury shares at $22 cash per share. Sept. 5 Directors declared a $6 per share cash dividend payable on October 20 to the September 25 stockholders of record. Oct. 28 Paid the dividend declared on September 5. Dec. 31 closed the $388,000 credit balance (from net incone) in the Income Summary account to Retained Earnings. Required: 1. Prepare journal entries to record each of these transactions 2. Prepare a statement of retained earnings for the year ended December 31, 2019, 3. Prepare the stockholders' equity section of the company's balance sheet as of December 31, 2019 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the stockholders' equity section of the company's balance sheet as of December 31, 2019, KOHLER CORPORATION Stockholders' Equity Section of the Balance Sheet December 31, 2019 Total contributed capital $ 0 Total stockholders equity
