Take me to the text In 2020, Elizabeth and some of her friends invested money to start a company named GIRLZ Corporation. The following transactions occurred during 2020. Jan 1 The corporate charter authorized 73,000 shares of 5%, cumulative preferred shares and unlimited no-par value common shares. Jan 6 Issued 195,000 common shares at $11 per share to Elizabeth and other investors. Issued another 460 common shares to Elizabeth in exchange for her services in organizing the corporation. The shareholders Jan 7 agreed that the services were worth $6,900. Jan Issued 3,800 preferred shares for $380,000. 12 Jan 14 Issued 9,000 common shares in exchange for equipment. The fair market value of the equipment could not be readily determined, but the market price of the common shares on this date was $19 per share. Nov 15 The first annual dividend on preferred shares declared. Dec Paid the dividends declared on preferred shares. 20 Dec 31 Estimated income tax expense of $34,500. GIRLZ Corporation generated a $148,000 (after income tax) during the year. The company uses the retained earnings account to record dividends. a) Prepare the journal entries to record the above transactions in 2020. Do not enter dollar signs or commas in the input boxes. Date Account Title and Explanation Debit Credit Jan 6 Cash 2145000 2145000 Common Shares Issued common shares for cash Jan 7 Organization Costs 6900 6900 Common Shares Issued common shares for services Jan 12 Cash 380000 . 380000 Preferred Shares Issue of preferred shares for cash Jan 14 Equipment 171000 171000 Common Shares Issued common shares for equipment Nov 15 Retained Earnings . 19000 Dividends Payable 19000 Dividend declared on preferred shares Dec 20 Dividends Payable 19000 Cash . 19000 Recording payment of dividend b) Prepare the statement of retained earnings for the year ended December 31, 2020. GIRLZ Corporation Calculation of Retained Earnings For the Year Ended December 31, 2020 Opening Balance 0 Add: Net Income 148000 Less: Cash Dividends - Preferred 19000 Balance - December 31, 2020 129000 c) Prepare the shareholders' equity section of the balance sheet as at December 31, 2020. GIRLZ Corporation Balance Sheet (Partial) December 31, 2020 Shareholders' Equity Contributed Capital Preferred Shares, 5% cumulative, 73,000 authorized, 3,800 issued and outstanding 380000 Common Shares, unlimited authorized, 204,460 issued and outstanding x Total Contributed Capital Retained Earnings 129000 Total Shareholders' Equity