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Sun Corporation received a charter that authorized the issuance of 95,000 shares of $4 par common stock and 19,000 shares of $125 par, 5 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation. Year 1

January 5	Sold 14,250 shares of the $4 par common stock for $6 per share.
January 12	Sold 1,900 shares of the 5 percent preferred stock for $135 per share.
April 5	Sold 19,000 shares of the $4 par common stock for $8 per share.
December 31	During the year, earned $317,500 in cash revenue and paid $241,000 for cash operating expenses.
December 31	Declared the cash dividend on the outstanding shares of preferred stock for Year 1. The dividend will be paid on February 15 to stockholders of record on January 10, Year 2.
December 31	Closed the revenue, expense, and dividend accounts to the retained earnings account.

Year 2

February 15	Paid the cash dividend declared on December 31, Year 1.
March 3	Sold 2,850 shares of the $125 par preferred stock for $145 per share.
May 5	Purchased 500 shares of the common stock as treasury stock at $8 per share.
December 31	During the year, earned $253,000 in cash revenues and paid $176,800 for cash operating expenses.
December 31	Declared the annual dividend on the preferred stock and a $0.50 per share dividend on the common stock.
December 31	Closed revenue, expense, and dividend accounts to the retained earnings account.

Required information [The following information applies to the questions displayed below] Sun Corporation received a charter that authorized the issuance of 95,000 shares of $4 par common stock and 19,000 shares of $125 par, 5 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation. Year 1 January 5 Sold 14,250 shares of the $4 par common stock for $6 per share. January 12 Sold 1,900 shares of the 5 percent preferred stock for $135 per share. April 5 Sold 19, 600 shares of the $4 par comiton stock for $8 per share. December 31 During the year, earned $317,500 in cash revenue and paid $241, 000 for cash operating expenses. December 31 Declared the cash dividend on the outstanding shares of preferred stock for Year 1 . The dividend will be paid on February 15 to stockholders of record on January 10, Year 2. December 31 closed the revenue, expense, and dividend accounts to the retained earnings account. Year 2 February 15 Paid the cash dividend declared on Decenber 31, Year 1. March 3 Sold 2,850 shares of the $125 par preferred stock for $145 per share. May 5 Purchased 500 shares of the comnon stock as treasury stock at $8 per share. Decenber 31 During the year, earned $253,000 in cash revenues and paid $176,800 for cash operating expenses. Decenber 31 Declared the annusi dividend on the preferred stock and a $0.50 per share dividend on the common stock. Deceaber 31 closed revenue, expense, and dividend accounts to the retained earnings account. b. Prepare the balance sheets at December 31, Year 1 and Year 2. Prepare the balance sheets at December 31 . Year 1 . P be Required information [The following information applies to the questions displayed below] Sun Corporation received a charter that authorized the issuance of 95,000 shares of $4 par common stock and 19,000 shares of $125 par, 5 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation. Year 1 January 5 Sold 14,250 shares of the $4 par common stock for $6 per share. January 12 Sold 1,900 shares of the 5 percent preferred stock for $135 per share. April 5 Sold 19, 600 shares of the $4 par comiton stock for $8 per share. December 31 During the year, earned $317,500 in cash revenue and paid $241, 000 for cash operating expenses. December 31 Declared the cash dividend on the outstanding shares of preferred stock for Year 1 . The dividend will be paid on February 15 to stockholders of record on January 10, Year 2. December 31 closed the revenue, expense, and dividend accounts to the retained earnings account. Year 2 February 15 Paid the cash dividend declared on Decenber 31, Year 1. March 3 Sold 2,850 shares of the $125 par preferred stock for $145 per share. May 5 Purchased 500 shares of the comnon stock as treasury stock at $8 per share. Decenber 31 During the year, earned $253,000 in cash revenues and paid $176,800 for cash operating expenses. Decenber 31 Declared the annusi dividend on the preferred stock and a $0.50 per share dividend on the common stock. Deceaber 31 closed revenue, expense, and dividend accounts to the retained earnings account. b. Prepare the balance sheets at December 31, Year 1 and Year 2. Prepare the balance sheets at December 31 . Year 1 . P be