Required 1 prepare journal entries to record the transactions and closing for 2023 and 2024 . The company uses a cash dividends accounts to record declared dividends. 2 prepare a statement of changes in equity for the year ended December 31 2024 3 prepare the equity section of the company's balance sheet as of December 31,2024

I he balance sheet tor lactex Controls Inc., provinclally incorporated in 2021 , reported the following components of equify on December 31,2022. In 2023 and 2024, the company had the following transactions affecting shareholder's and the equity accounts: Jan. 1 Sold 26,000 common shares at $10.24 per share. 5 The directors declared a total cash dividend of $227,000 payable on Feb. 28 to the Feb. 5 shareholders of record. Dividends had not been declared for the years 2021 and 2022. A11 of the preferred shares had been issued during 2021. Feb. 28 Paid the dividends declared on January 5. July 1 Sold preferred shares for a total of $156,400. The average issue price was $20 per share. Dec. 31 Closed the dividend accounts along with the $576,400 credit balance in the Income Summary account. 2024 Sept. 5 The directors declared the required cash dividend on the preferred shares and a $1.0 per common share cash dividend payable on October 28 to the October 5 shareholders of record. Oct. 28 Paid the dividends declared on September 5. Dec. 31 Closed the Cash Dividends account along with the $542,800 credit balance in the Income Summary account