Problem 13-2B Cash dividends, treasury stock, and statement of retained earnings C3 P2 P3 Balthus Corp. reports the following components of stockholders' equity at December 31 of the prior year. Common stock-$1 par value, 320,000 shares authorized, 200,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings Total stockholders' equity It completed the following transactions related to stockholders' equity during the current year. $ 200,000 1,400,000 2,160,000 $3,760,000 Jan. 10 Purchased 40,000 shares of its own stock at $12 cash per share. Mar. 2 Directors declared a $1.50 per share cash dividend payable on March 31 to the March 15 stockholders of record. Mar. 31 Paid the dividend declared on March 2. Sold 24,000 of its treasury shares at $13 cash per share. Nov. 11 Nov. 25 Sold 16,000 of its treasury shares at $10.50 cash per share. Dec. 1 Directors declared a $2.50 per share cash dividend payable on January 2 to the December 10 stockholders of record. Dec. 31 Closed the $1.072.000 credit balance (from net income) 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 current year ended December 31. 3. Prepare the stockholders' equity section of the balance sheet as of December 31 of the current year.

Problem 13-2B Cash dividends, treasury stock; and statement of retained eamings 9 C3 6 P2 19 P3 Bahthus Corp. reports the follosing components of stockholders' equity at December 31 of the prier ynar It complesed the following transactioas related to stokbolderi' equity daring the current yvaf. Jan. 10 Purchaved 40,000 slares of ass own stock at 512 cash per share. Mar. 7 Diecion declaied a $1.30 per share sash dividend payble on March 31 to the Marsh is stockholders of incont. Mar 3 Paid the Alvidend Aeclared os March 2 Nox 11 Sold 24,000 of its treanury shares at 514 cath per thase. Required Balthus Corp. reports the following components of stockholders' equity at Decenber 31 of the prior vear