The balance sheet of Consolidated Paper, Inc., included the following shareholders equity

accounts at December 31, 2012:

Paid-in capital:

Preferred stock, 8.60%, 93,000 shares at $1 par

$93,000

Common stock, 364,000 shares at $1 par

364,000

Paid-in capitalexcess of par, preferred

1,437,000

Paid-in capitalexcess of par, common

2,577,000

Retained earnings

9,737,000

Treasury stock, at cost; 4,000 common shares

(48,000)

Total shareholders' equity

$14,160,000

During 2013, several events and transactions affected the retained earnings of Consolidated Paper.

(1)

Prepare the appropriate entries for these events:

a.

On March 3 the board of directors declared a property dividend of 244,000 shares of

Leasco International common stock that Consolidated Paper had purchased in January

as an investment (book value: $701,000). The investment shares had a fair value of $4

per share and were distributed March 31 to shareholders of record March 15.

b.

On May 3 a 5-for-4 stock split was declared and distributed. The stock split was effected

in the form of a 25% stock dividend. The market value of the $1 par common stock was

$12 per share.

c.

On July 5 a 6.0% common stock dividend was declared and distributed. The market

value of the common stock was $12 per share.