Required: 1. Infer from the statements the events and transactions that affected Anaconda International Corporations shareholders equity during 2018, 2019, and 2020. Prepare the journal entries that reflect those events and transactions. 2. Prepare the shareholders equity section of Anacondas comparative balance sheets at December 31, 2020 and 2019.

Total Shareholders Equity 2,870 990 (3) ANACONDA INTERNATIONAL CORPORATION Statements of Shareholders' Equity For the Years Ended Dec. 31, 2018, 2019, and 2020 $ in millions) Preferred Common Additional Stock Stock Paid-In Retained $10 par $1 par Capital Earnings Balance at January 1, 2018 810 1,970 Sale of preferred shares 30 960 Sale of common shares Cash dividend, preferred Cash dividend, common (22) Net income 390 Balance at December 31, 2018 1.824 2.35 Retirement of shares (63) (25) Cash dividend, preferred Cash dividend, common (26) 3-for-2 split effected in the form of a dividend (15) Net income 540 Balance at December 31, 2019 2.921 Common stock dividend (55) Cash dividend preferred Cash dividend, common (28) Net income Balance at December 31, 2020 (22) 390 4,285 (95) 3) (3) (26) 1.746 540 4,701 (3) (28) 5 * 1,126