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The balance sheet for Tactex Controls Inc., provincially incorporated in 2 0 2 1 , reported the following components of equity on December 3 1

The balance sheet for Tactex Controls Inc., provincially incorporated in 2021, reported the following components of equity on
December 31,2022.
In 2023 and 2024, the company had the following transactions affecting shareholders and the equity accounts:
2023
Jan. 1 Sold 21,000 common shares at $9.74 per share.
5 The directors declared a total cash dividend of $222,000 payable on Feb. 28 to the Feb. 5
shareholders of record. Dividends had not been declared for the years 2021 and 2022. All
of the preferred shares had been issued during 2021.
Feb. 28 Paid the dividends declared on January 5.
July 1 Sold preferred shares for a total of $155,900. The average issue price was $20 per share.
Dec. 31 Closed the dividend accounts along with the $575,900 credit balance in the Income Summary
account.
2024
Sept. 5 The directors declared the required cash dividend on the preferred shares and a $0.5 per
common share cash dividend payable on October 28 to the October 5 shareholders of record.
oct. 28 Paid the dividends declared on September 5.
Dec. 31 Closed the Cash Dividends account along with the $542,300 credit balance in the Income
Summary account.
Prepare journal entries to record the transactions and closings for 2023 and 2024. The company uses a cash dividends account to record declared dividends.
1Record the issuance of 21,000 common shares
2Record the dividend declared on preferred shares and common shares.
3Record cash dividend paid.
4Record the issuance of preferred shares.
5Record to close the dividend account.
6Record to close the profit to retained earnings.
7Record the dividend declared on preferred shares and common shares.
8Record cash dividend paid.
9Record to close the cash dividends account.
10Record to close the income summary account.
2.Prepare a statement of changes in equity for the year ended December 31,2024.(Amounts to be deducted should be indicated by a minus sign.)
3.3. Prepare the equity section of the companys balance sheet as of December 31,2024.
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