Required information (The following information applies to the questions displayed below.) Sun Corporation received a charter that authorized the issuance of 88,000 shares of $5 par common stock and 19,000 shares of $100 par, 7 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation: Year 1 Jan. 5 Sold 13,200 shares of the $5 par common stock for $7 per share. 12 Sold 1,900 shares of the 7 percent preferred stock for $110 per share. Apr. 5 Sold 17,600 shares of the $5 par common stock for $9 per share. Dec. 31 During the year, earned $310,300 in cash revenue and paid $244,200 for cash operating expenses. 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. 31 closed the revenue, expense, and dividend accounts to the retained earnings account. Year 2 Feb. 15 Paid the cash dividend declared on December 31, Year 1. Mar. 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 $10 per share. Dec. 31 During the year, earned $251,800 in cash revenues and paid $179,400 for cash operating expenses. Declared the annual dividend on the preferred stock and a $0.25 per share dividend on the common 31 stock. 31 Closed revenue, expense, and dividend accounts to the retained earnings account. Required a. Prepare journal entries for these transactions for Year 1 and Year 2 and post them to T-accounts. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your intermediate calculations and final answer to the nearest dollar amount. Select "12/31 cl." for all the closing entries.) 1 Sold 13,200 shares of the $5 par common stock for $7 per share. 2 Sold 1,900 shares of the 7 percent preferred stock for $110 per share. 3 Sold 17,600 shares of the $5 par common stock for $9 per share. 1 4 Record cash revenue earned. 5 Record payment for operating expenses. 6 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. 7 Record the closing entry for service revenue. 8 Record the closing entry for operating expenses. 9 Record the closing entry for dividends. 10 Paid the cash dividend declared on December 31, Year 1. 11 Sold 2,850 shares of the $100 par preferred stock for $120 per share. 12 Purchased 500 shares of the common stock as treasury stock at $10 per share. 13 Record cash revenue earned. 14 Record payment for operating expenses. 15 Declared the annual dividend on the preferred stock and a $0.25 per share dividend on the common stock. 16 Record the closing entry for revenue accounts. 17 Record the closing entry for operating expenses. 18 Record the closing entry for dividends. Cash Dividends Payable Year 1 Year 1 End. Bal. End. Bal. Retained Earnings Preferred Stock Year 1 Year 1 End. Bal. End. Bal. Common Stock Paid-in Capital in Excess of ParPreferred Stock Year 1 Year 1 End. Bal. End. Bal. Dividends Paid-in Capital in Excess of Par-Common Stock Year 1 Year 1 End. Bal. End. Bal. Service Revenue Operating Expenses Year 1 Year 1 End. Bal. End. Bal. Year 2 Cash Dividends Payable Year 2 Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Retained Earnings Preferred Stock Year 2 Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Common Stock Year 2 Paid-in Capital in Excess of Par-Preferred Stock Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Dividends Paid-in Capital in Excess of Par-Common Stock Year 2 Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Treasury Stock (Common) Service Revenue Year 2 Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Operating Expenses Year 2 Beg. Bal. End. Bal. Required information (The following information applies to the questions displayed below.) Sun Corporation received a charter that authorized the issuance of 88,000 shares of $5 par common stock and 19,000 shares of $100 par, 7 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation: Year 1 Jan. 5 Sold 13,200 shares of the $5 par common stock for $7 per share. 12 Sold 1,900 shares of the 7 percent preferred stock for $110 per share. Apr. 5 Sold 17,600 shares of the $5 par common stock for $9 per share. Dec. 31 During the year, earned $310,300 in cash revenue and paid $244,200 for cash operating expenses. 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. 31 closed the revenue, expense, and dividend accounts to the retained earnings account. Year 2 Feb. 15 Paid the cash dividend declared on December 31, Year 1. Mar. 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 $10 per share. Dec. 31 During the year, earned $251,800 in cash revenues and paid $179,400 for cash operating expenses. Declared the annual dividend on the preferred stock and a $0.25 per share dividend on the common 31 stock. 31 Closed revenue, expense, and dividend accounts to the retained earnings account. Required a. Prepare journal entries for these transactions for Year 1 and Year 2 and post them to T-accounts. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your intermediate calculations and final answer to the nearest dollar amount. Select "12/31 cl." for all the closing entries.) 1 Sold 13,200 shares of the $5 par common stock for $7 per share. 2 Sold 1,900 shares of the 7 percent preferred stock for $110 per share. 3 Sold 17,600 shares of the $5 par common stock for $9 per share. 1 4 Record cash revenue earned. 5 Record payment for operating expenses. 6 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. 7 Record the closing entry for service revenue. 8 Record the closing entry for operating expenses. 9 Record the closing entry for dividends. 10 Paid the cash dividend declared on December 31, Year 1. 11 Sold 2,850 shares of the $100 par preferred stock for $120 per share. 12 Purchased 500 shares of the common stock as treasury stock at $10 per share. 13 Record cash revenue earned. 14 Record payment for operating expenses. 15 Declared the annual dividend on the preferred stock and a $0.25 per share dividend on the common stock. 16 Record the closing entry for revenue accounts. 17 Record the closing entry for operating expenses. 18 Record the closing entry for dividends. Cash Dividends Payable Year 1 Year 1 End. Bal. End. Bal. Retained Earnings Preferred Stock Year 1 Year 1 End. Bal. End. Bal. Common Stock Paid-in Capital in Excess of ParPreferred Stock Year 1 Year 1 End. Bal. End. Bal. Dividends Paid-in Capital in Excess of Par-Common Stock Year 1 Year 1 End. Bal. End. Bal. Service Revenue Operating Expenses Year 1 Year 1 End. Bal. End. Bal. Year 2 Cash Dividends Payable Year 2 Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Retained Earnings Preferred Stock Year 2 Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Common Stock Year 2 Paid-in Capital in Excess of Par-Preferred Stock Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Dividends Paid-in Capital in Excess of Par-Common Stock Year 2 Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Treasury Stock (Common) Service Revenue Year 2 Year 2 Beg. Bal. Beg. Bal. End. Bal. End. Bal. Operating Expenses Year 2 Beg. Bal. End. Bal