Required

a) Provide the journal entry for the stock dividend on September 15. You must show your work.

b) Provide the journal entry for sale of the treasury stock on October 6. You must show your work.

c) The company recognizes dividend payable on the declaration date. Determine the total amount of liability from dividend payable included in the balance sheet at December 31, 2021. You must show your work.

d) Determine the amount of retained earnings reported in the balance sheet at December 31, 2021. You must show your work.

e) Determine the number of shares outstanding of common stock on December 31, 2021. You must show your work.

Shareholders' Equity (30 points) 1. On January 1, 2021, the stockholders' equity section of the balance sheet of Robby's Shoe Company is as follows: $150,000 Stockholders' equity s as of January 1, 2021 Common Stock (100,000,000 shares authorized, $5 par) Additional Paid in Capital -- Common stock Preferred stock, non-cumulative (10,000 shares authorized, 10% stock, $50 par) Retained Earnings Total shareholders' equity 650,000 $10,000 1,000,000 $1,810,000 The following transactions occurred during the year of 2021. a. On January 20, Robby's Shoe Company issues 10,000 shares of common stock to acquire a building. The building is appraised at $360,000. The company's stock is actively traded on a national stock exchange, and on that day the market price of the stock is $34. b. On March 1, the Company repurchases 4,000 shares of its common stock from the open market. The shares are considered treasury stock. The total cost is $112,000. c. On September 15, the Company declared and paid 100% stock dividend. The market price of the stock was $32. d. On October 6, the Company sells 2,000 shares of the treasury stock when the market price is $40. e. On December 20, the Company declares $0.25 dividend per share to its common stock shareholders. The date of record is December 27, and the payment date is January 10, 2022. f. Net income for the year was $300,000