Requirement

1.	Record the transactions in Dearborn's general journal.
2.	Prepare the Dearborn's stockholders' equity section of the balance sheet as of December 31, 2016. Assume that Dearborn was authorized to issue 2,200 shares of preferred stock and 500,000 shares of common stock. Both preferred stock and common stock were issued at par. The ending balance of retained earnings as of December 31, 2016, is $2,060,000.

Requirement 2. Prepare the Dearborn's stockholders D'equity section of the balance sheet as of December 31, 2016. Assume that Dearborn was authorized to issue 2,200 shares of preferred stock and 500,000 shares of common stock. Both preferred stock and common stock were issued at par. The ending balance of retained earnings as of December 31, 2016, is $2,060,000. (Use parentheses or a minus sign for amounts to be subtracted.) Dearborn Manufacturing, Co. Balance Sheet (Partial) December 31, 2016 Stockholders' Equity Paid-In Capital: Preferred Stock6%, $103 Par Value; N 2200 shares authorized shares issued and outstanding Common Stock-$4 Par Value; 500000 shares authorized, shares issued shares outstanding Total Paid-In Capital Retained Earnings Treasury StockCommon; shares at cost 2060000 Total Stockholders' Equity