The annual report for Sneer Corporation disclosed that the company declared and paid preferred dividends in the amount of $$100,000$ View transaction list

$1$ Record the declaration of a cash dividend of $$100,000$ to the preferred stockholders.

$2$ Record the payment of the cash dividend to the preferred stockholders.

$3$ Record the declaration of a cash dividend of $$2$ per share to the common stockholders payable on the shares outstanding.

$4$ Record the payment of the cash dividend to the common stockholders.

Note : $O$ journal entry has been entered

Record entry

Clear entry

View general journal $\backslash$table$[[$SNEER CORPORATION,$],[$Statement of Retained Earnings,$],[$For the Year Ended December $31,],[$Retained Earnings, January $1,],[,],[,],[,],[$Retained Earnings, December $31,]]$ Journal entry worksheet

A

Record the entry to close the dividends account.

Note: Enter debits before credits.

in the current year. It also declared and paid dividends on common stock in the amount of $$2$ per share. During the current year, Sneer

had $1$ million common shares authorized; $300,000$ shares had been issued; and $100,000$ shares were in treasury stock. The opening

balance in Retained Earnings was $$800,000$ and Net Income for the current year was $$300,000.$

Required:

Prepare journal entries to record the declaration, and payment, of dividends on $($a$)$ preferred and $($b$)$ common stock.

Using the information given above, prepare a statement of retained earnings for the year ended December $31.$

Prepare a journal entry to close the dividends account.