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The annual report for Sneer Corporation disclosed that the company declared and paid preferred dividends in the amount of $230,000 in the current year. It

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The annual report for Sneer Corporation disclosed that the company declared and paid preferred dividends in the amount of $230,000 in the current year. It also declared and paid dividends on common stock in the amount of $1.70 per share. During the current year, Sneer had 1 million common shares authorized: 430,000 shares had been issued; and 217,000 shares were in treasury stock. The opening balance in Retained Earnings was $770,000 and Net Income for the current year was $270,000. Required: 1. Prepare journal entries to record the declaration, and payment of dividends on (a) preferred and (b) common stock. 2. Using the information given above, prepare a statement of retained earnings for the year ended December 31 3. Prepare a journal entry to close the dividends account. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare journal entries to record the declaration, and payment, of dividends on (a) preferred and (b) common stock. (If no entry is required for a transaction/event, select "No Journal Entry Required in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 Record the declaration of a cash dividend of $230,000 to the preferred stockholders. Not inter den before credits General Journal Debit Transaction 015) Credit Journal entry worksheet 1 2 3 4 Record the declaration of a cash dividend of $230,000 to the preferred stockholders. Note: Enter debits before credits. Transaction General Journal Debit Credit a(1) Record entry Clear entry View general journal Prepare journal entries to record the declaration, and payment, of dividends on (a) preferred required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 3 4 3 Record the payment of the cash dividend to the preferred stockholders. Note: Enter debits before credits General Journal Debit Credit Transaction a(2) Record entry Clear entry View general Journal Required 2 > View transaction list Journal entry worksheet > 2 Record the declaration of a cash dividend of $1.70 per share to the common stockholders payable on the shares outstanding. Note: Enter debits before credits, General Journal Debit Credit Transaction b(1) Record entry Clear entry View general journal Prepare required for a transaction/event, select "No Journal Entry View transaction list Journal entry worksheet

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