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Required information The following information applies to the questions displayed below) Homestead Oll Corp. was incorporated on January 1, 2019, and issued the following stock

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Required information The following information applies to the questions displayed below) Homestead Oll Corp. was incorporated on January 1, 2019, and issued the following stock for cash: 890,000 shares of no-par common stock were authorized: 160,000 shares were issued on January 1 2019. at $19.00 per share. . 220,000 shares of $110 par value. 8.00% cumulative, preferred stock were authorized: 53,000 shares were issued on January 1, 2019, at $140 per share. Net Income for the years ended December 31, 2019 and 2020 was $1,370,000 and $2,540,000, respectively. No dividends were declared or paid during 2019. However, on December 28, 2020, the board of directors of Homestead declared dividends of $1,460,000, payable on February 12, 2021, to holders of record as of January 19, 2021. Required: 1. Use the horizontal model for the issuance of common stock and preferred stock on January 1, 2019. Indicate the financial statement effect. (Enter decreases with a minus sign to indicate a negative financial statement effect.) Balance Sheet Liabilities Income Statement Revenues - Assets = Stockholders' Equity Net Income = Expenses 2. Use the horizontal model for the declaration of dividends on December 28, 2020. Indicate the financial statement effect. (Enter decreases with a minus sign to indicate a negative financial statement effect.) Balance Sheet Liabilities Income Statement Revenues - Assets = + Stockholders' Equity - Net Income = Expenses 3. Use the horizontal model for the payment of dividends on February 12, 2021 Indicate the financial statement effect. Enter decreases with a minus sign to indicate a negative financial statement effect.) Balance Sheet Income Statement Assets Liabilities Stockholders' Equity Net Income - Revenues - Expenses

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