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 on December 31, 2017:

Common stock$25 par value, 100,000 shares authorized, 55,000 shares issued and outstanding	$	1,375,000
Paid-in capital in excess of par value, common stock		60,000
Retained earnings		400,000
Total stockholders' equity	$	1,835,000

In year 2018, the following transactions affected its stockholders equity accounts.

Jan.		1		Purchased 5,000 shares of its own stock at $25 cash per share.
Jan.		5		Directors declared a $4 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 2,500 of its treasury shares at $29 cash per share.
Aug.		22		Sold 2,500 of its treasury shares at $21 cash per share.
Sept.		5		Directors declared a $4 per share cash dividend payable on October 28 to the September 25 stockholders of record.
Oct.		28		Paid the dividend declared on September 5.
Dec.		31		Closed the $408,000 credit balance (from net income) in the Income Summary account to Retained Earnings.