Sun Corporation received a charter that authorized the issuance of 85.000 shares of $5 par common stock and 18,000 shares of $75 par, 4 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation: Year 1 Jan. 5 Sold 12,750 shares of the $5 par common stock for $7 per share. 12 Sold 1,800 shares of the 4 percent preferred stock for $85 per share. Apr. 5 Sold 17,000 shares of the $5 par common stock for $9 per share. Dec. 31 During the year, earned $313,200 in cash revenue and paid $242,200 for cash operating expenses. Year 2 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. Feb. 15 Paid the cash dividend declared on December 31, Year 1. Mar. 3 Sold 2,700 shares of the $75 par preferred stock for $95 per share. May 5 Purchased 600 shares of the common stock as treasury stock at $10 per share. Dec. 31 During the year, earned $249,000 in cash revenues and paid $171,900 for cash operating expenses. 31 Declared the annual dividend on the preferred stock and a $0.75 per share dividend on the common stock. Required a. Organize the transaction data in accounts under an accounting equation. b. Prepare the stockholders' equity section of the balance sheet at December 31, Year 1. c. Prepare the balance sheet at December 31, Year 2. Complete this question by entering your answers in the tabs below. Required A Required B Required C Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account balances with a minus sign. If there is an effect to Retained earnings, indicate the account title. Leave the cell blank if there is no effect.) Event Assest Liabilities + Year 1. Jan.5 Jan. 12 Apr.5 Dec.31 Dec.31 Dec.31 Bal. Year 2 Feb. 15 Mar.3 May 5 Dec.31 SUN CORPORATION Accounting Equation Stockholders' Equity Paid-in Capital in Paid-in Capital in Cash Dividends Preferred Payable Stock Common Stock + Excess of + Excess of Preferred Common Stock Treasury Stock Retained Earnings Account Titles for Retained Earnings Stock + Required a. Organize the transaction data in accounts under an accounting equation. b. Prepare the stockholders' equity section of the balance sheet at December 31, Year 1. c. Prepare the balance sheet at December 31, Year 2. Complete this question by entering your answers in the tabs below. Required A Required B Required C Prepare the stockholders' equity section of the balance sheet at December 31, Year 1. Stockholders' equity SUN CORPORATION Balance Sheet (Partial) As of December 31, Year 1 Total paid-in capital Total stockholders' equity < Required A Required C > Complete this question by entering your answers in the tabs below. Required A Required B Required C Prepare the balance sheet at December 31, Year 2. (Negative amount should be indicated by a minus sign.) SUN CORPORATION Balance Sheet As of December 31, Year 2 Assets Total assets Liabilities Total liabilities Stockholders' equity Total paid-in capital Total stockholders' equity Total liabilities and stockholders' equity < Required B Required C >