Required information E11-2 Reporting Stockholders' Equity and Determining Dividend Policy (LO 11-2, LO 11-3) The following information applies to the questions displayed below) Incentive Corporation was authorized to issue 12,000 shares of common stock, each with a $2 par value. During its first year, the following selected transactions were completed: a. Issued 6.900 shares of common stock for cash at $29 per share. b. Issued 2,900 shares of common stock for cash at $32 per share. E11-2 Part 1 E1-2 Part 1 Required: 1. Complete the table below, indicating the account, amount, and direction of the effect for the above transactions. (Enter any decreases to account balances with a minus sign.) Prey 6 7 8 9 E11-2 Part 1 Required: 1. Complete the table below, indicating the account, amount, and direction of the effect for the above transactions. (Enter any decreases to account balances with a minus sign.) Assets Liabilities Stockholders' . Journal entry worksheet Record the issuance of 6,900 shares of common stock with a par value $2 for a price of $29 per share. Note: Enter debits before credits. Transaction General Journal D ebit Credit TTT Record entry Clear entry View general journal E11-2 Part 3 3. Prepare the stockholders' equity section as it should be reported on the year-end balance sheet. At year-end, the accounts reflected net income of $100. INCENTIVE CORPORATION Balance Sheet (Partial) At December 31 Stockholders' Equity Contributed Capital: Total Contributed Capital T1 Total Stockholders' Equity Prey 8 9 of 21 Next per share D.issued 2,900 shares of common stock for cash at $32 per share. E11-2 Part 4 E1-2 Part 4 4. Incentive Corporation has $39,000 in the company's bank account. At year-end, the accounts reflected a profit of $100. What is the maximum amount of cash dividends the company can declare and distribute? Maximum amount of cash dividends