Problem 13-2A Cash dividends, treasury stock, and statement of retained earnings C3 P2 P3 Sage 50 kohler Corporation reports the following components of stockholders' equity on December 31, 2013: Common stock-$10 par value, 100,000 shares authorized 40,000 shares issued and outstanding . . Paid-in capital in excess of par value, common stock . .. .......$400,000 . . . . ..60.000 Total stockholders' equity.. . In year 2014, the following transactions affected its stockholders' equity accounts. Jan. Jan. Purchased 4,000 shares of its own stock at $20 cash per share. 5 Directors declared a $2 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record. Paid the dividend declared on January 5. Sold 1,500 of its treasury shares at $24 cash per share. Sold 2,500 of its treasury shares at $17 cash per share. Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record. Paid the dividend declared on September 5. Closed the $388,000 credit balance (from net income) in the Income Summary account to Retained Earnings. Feb. July Aug. Sept. 28 6 22 5 Oct. Dec. 28 31 Required 1. Prepare journal entries to record each of these transactions for 2014 2. Prepare a statement of retained earnings for the year ended December 31, 2014 3. Prepare the stockholders' equity section of the company's balance sheet as of December 31, 2014