Starborn Manufacturing Co. completed the following transactions during 2016: (Click the icon to view the transactions.) Requirements 1. Record the transactions in Starborn's general journal. 2. Prepare the Starborn's stockholders' equity section of the balance sheet as of December 31, 2016. Assume that Starbor was authorized to issue 1,000 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 $2,090,000. Requirement 1. Record the transactions in Starbom's general journal. (Record debits first, then credits. Select the explanation on the last line of the journal entry table. If no entry is required, select "No entry required" on the first line of the Accounts and Explanation column and leave the remaining cells blank.) Jan. 16: Declared a cash dividend on the 5%, $96 par noncumulative preferred stock (950 shares outstanding). Declared a $0.40 per share dividend on the 85,000 shares of $10 par value common stock outstanding. The date of record is January 31, and the payment date is February 15. Date Accounts and Explanation Jan. 16 Retained Earnings Dividends Payable-Preferred Feb. 15: Paid the cash dividends. Date Feb. 15 Debit Credit Accounts and Explanation Debit Credit