Required information [The following information applies to the questions displayed below.] Sun Corporation received a charter that authorized the issuance of 93,000 shares of $7 par common stock and 19,000 shares of $100 par, 5 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation. Year 1 January 5 Sold 13,950 shares of the $7 par common stock for $9 per share. January 12 Sold 1,900 shares of the 5 percent preferred stock for $110 per share. April 5 Sold 18,600 shares of the $7 par common stock for $11 per share. December 31 During the year, earned $315,600 in cash revenue and paid $242,500 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 $100 par preferred stock for $120 per share. May 5 Purchased 500 shares of the common stock as treasury stock at $14 per share. December 31 During the year, earned $254,800 in cash revenues and paid $174,000 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.