Question Completion Status: Preferred shares, $12 cumulative, 200,000 shares authorized, 90,000 shares issued & outstanding Common shares, 500,000 shares authorized, 200,000 shares issued & outstanding Total contributed capital Retained earnings Total shareholders' equity Determine the following: $7,200,000 1,400,000 8,600,000 3,400,000 $12,000,000 a) What was the average issue price per common share? 7 b) What was the average issue price per preferred share? 80 c) Assume net income for the fiscal year was $825,000. Journalize the entry to close net income to retained earnings. DATE ACCOUNTS Dec 31 income summary Retained earnings DEBIT 825000 CREDIT 825000 d) Assume the board of directors declares dividends of $3,000,000. No dividends were declared in the previous year. What is the amount per share each class of shares will receive? Answer: Preferred Shares Common Shares 24 4.80