Question Two - Journal Entries (15 marks) Westcock Shipbuilding Ltd. has a December 31 year end. On January 1, 2019 the company had the following shareholders' equity accounts: Preferred Shares, $4, convertible into 3 common shares, unlimited number authorized, 7 000 issued Common Shares, unlimited number authorized, 150 000 issued Retained Earnings $ 850 000 2 250 000 1 750 000 Westcock Shipbuilding Ltd had the following transaction during 2019: Jan. 31 Issued 700 Preferred Shares at $95 per share Mar. 2 Reacquired 5 000 Common Shares at $16 per share June 28 Announced a 3 for 1 stock split of the common shares. Immediately before the split the share price was $13 per share Sept. 15 Issued 10 000 common shares, trading at $5 per share in exchange for a piece of equipment from Roy Daines with a Net Book Value of $45 000 and an appraised value of $42 000. Oct. 31 Declared a 10% stock dividend to the common shareholders of record on Nov. 15th. Market price is $6.75 Nov. 15 Date of record for common stock dividend. Market price is $7 Nov. 20 500 Preferred Shares were converted. The Preferred Shares have a market price of $101 and the common shares have a market value of $6.75 Nov. 30 Distributed common stock dividend. Market price is $6.50 Dec. 31 The company reported a profit of $450 000. **Prepare ALL the closing entries Instructions: Prepare journal entries to record the above transactions (no comments required) and answer the questions below. You may find it helpful to use the T-Account below: Common Shares # Issued