Stockholders Equity
At the beginning of 2020, Nigent, Inc. showed the following amount in the stockholders equity section of its balance sheet:
Stockholders equity:
Capital stock, $1 par value, 1,000,000
Shares authorized, 420,000 issued and outstanding	$ 420,000
Additional paid-in capital: capital stock	7,560,000
Total paid-in capital	7,980,000
Retained earnings	2,000,000
Total stockholders equity	$ 9,980,000

	The transactions relating to stockholders equity during the year are as follows:
5-Jan-20	Declared a dividend of $1 per share to stockholders of record on January 31, payable of February 25. Use Retained Earnings Account
25-Feb-20	Paid the cash dividend declared on January 5.
15-Apr-20	The corporation purchased 5,000 shares of its own capital stock at a price of, $20 per share, cost method used.
17-May-20	Reissued 3,000 shares of the treasury stock at a price of $22 per share - any amounts above cost go to Additional Paid in Capital - Treasury Stock
15-Jun-20	Declared a 5% stock dividend to stockholders of record at June 20, to be distributed to stockholders of record on June 20, to be distributed on June 30. The market price on June 15 was $19 per share. (The treasury shares do not participate in the stock dividend.
30-Jun-20	Distributed the stock dividend declared on June 15.
10-Aug-20	Reissued 800 of the 2,000 remaining shares of treasury stock at a price of $18 per share.
31-Dec-20	The Income Summary account, showing net income for the year of $2,100,000 was closed to Retained Earnings

Required

1.Prepare in general journal form the entries to record the transactions show below.

2. Prepare the stockholders equity section of the balance sheet as of December 31, 2020- Check figure for total stockholders equity is $11,640,400

3. Compute the maximum cash dividend per share that legally could be declared at December 31, 2020 without impairing the paid in capital of Nigent. - Hint - The availability of retained earnings for dividends is restricted by the cost of Treasury Stock held.