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 5700 shares of common stock for cash at $20 per share b Issued 1700 shares of common stock for cash at $23 per share 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.) 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' Equity b E11-2 Part 2 2. Prepare the journal entry required for each of these transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 2 Record the issuance of 5,700 shares of common stock with a par value 52 for a orice of $20 per share. Required information View transaction ist Journal entry worksheet 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 $200. INCENTIVE CORPORATION Balance Sheet (Partial) At December 31 Stockholders' Equity Contributed Capital Total Contributed Capital 0 Total Stockholders' Equity $ 0 E11-2 Part 4 4. Incentive Corporation has $43,000 in the company's bank account. At year-end, the accounts reflected a profit of $200. What is the maximum amount of cash dividends the company can declare and distribute? Maximum amount of cash dividends