Problem 14-2A (Part Level Submission) The stockholders' equity accounts of Karp Company at January 1, 2017, are as follows: $550,000 465,000 185,000 285,000 750,000 Preferred Stock, 6%, $50 par Common Stock, $3 par Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Par-Common Stock Retained Earnings There were no dividends in arrears on preferred stock. During 2017, the company had the following transactions and events. July 1 Declared a $o.50 cash dividend per share on common stock. Aug. 1 Discovered $20,000 understatement of depreciation expense in 2016. (Ignore income taxes.) Sept. 1 Paid the cash dividend deciared on July 1. Dec. 1 Declared a 10% stock dividend common stock when the market price of the stock was $15 per share. 15 Deaared a 6% cash dividend on preferred stock payable January 15, 2018. 31 Determined that net income for the year was $300,000 31 Recognized a $190,000 restriction of retained earnings for plant expansiorn