Question 4 at the beginning of the year LKS Itd has the following balances share capital Common shares up to a max 5.000.000 authorized 1.600.000 shares issued at average price per share $12.800.000 $8 $6.570,000 $3 cumulative Preferred shares up to a max 90.000 shares issued at the average share price 300,000 authorized $73 Retained earnings opening balance 12.340,000 the following transactions occur during the year a) the board declares a cash dividend of $1.000.000 On Jun 1 (the company failed to pay last years preferred dividend) b) the company pays the cash dividend on Jun 11 c) the company does a 3:1 stock split to increase the marketability of the shares d) the company issues 1000 preferred shares to the accountant to cover accounting expenses of (Common only) on Jun 27 65000 On Jul 13 e) the company makes a net income of $1,600.000 Year end: Jul 31 Description DR CR Date a) b) c) d) Prepare a statement of retained earnings for LKS Itd LKS Itd opening balance + net income cash dividend - stock divdend Closing balance prepare a statement of shareholders equity statement of shareholders equity