The balance sheet of Consolidated Paper, Inc., Included the following shareholders' equity accounts at December 31, 2020: Paid-in capital: Preferred stock, 8.0%, 80, eee shares at $1 par Common stock, 303,000 shares at $1 par Paid-in capital-excess of par, preferred Paid-in capital-excess of par, common Retained earnings Treasury stock, at cost; 3,000 common shares Total shareholders' equity $ 80,000 303,eee 1,425, eee 2,475,000 8,845, eee (30,80) $12,298,888 During 2021, several events and transactions affected the retained earnings of Consolidated Paper. Required: 1. Prepare the appropriate entries for these events. a. On March 3, the board of directors declared a property dividend of 200,000 shares of Leasco International common stock that Consolidated Paper had purchased in January as an Investment (book value: $390,000). The Investment shares had a fair value of $2 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 $10 per share. c. On July 5, a 1% common stock dividend was declared and distributed. The market value of the common stock was $10 per share. d. On December 1, the board of directors declared the 8.0% cash dividend on the 80,000 preferred shares, payable on December 28 to shareholders of record December 20. e. On December 1, the board of directors declared a cash dividend of $0.40 per share on its common shares, payable on December 28 to shareholders of record December 20. 2. Prepare the shareholders' equity section of the balance sheet for Consolidated Paper, Inc., at December 31, 2021. Net Income for the year was $700,000. Prepare the appropriate entries for these events. (It no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Credit Date March 03 General Journal Investment in equity securities Gain on investments Debit 10,000 10,000 March 03 Retained earnings 400,000 Property dividends payable 400,000 March 15 No journal entry required March 31 400,000 Property dividends payable Investment in equity securities 400,000 May 03 75,000 Paid-in capital - excess of par, common Common stock 75,000 July 05 Retained earnings Common stock Paid-in capital - excess of par, common December 01 6,400 Retained earnings Cash dividends payable 6,400 December 20 No journal entry required December 28 Cash dividends payable 6,400 Cash 6,400 December 01 153,520 Retained earnings Cash dividends payable 153,520 December 20 No journal entry required 12 December 28 153,520 X Cash dividends payable Cash 153,520 2. Prepare the shareholders' equity section of the balance sheet for Consolidated Paper, Inc., at December 31, 2021. Net Income for the year was $700,000. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the shareholders' equity section of the balance sheet for Consolidated Paper, Inc. at December 31, 2021. Net income for the year was $700,000. (Negative amounts should be indicated by a minus sign.) $ 80,000 CONSOLIDATED PAPER, INC. [Shareholders' Equity section] December 31, 2021 Paid-in capital: Preferred stock Common stock Paid-in capital - excess of par, preferred Paid-in capital - excess of par, common Retained earnings Treasury stock Total shareholders' equity 1,425,000 (30,000) 1,475,000 S (Required 1 Required 2 > The balance sheet of Consolidated Paper, Inc., Included the following shareholders' equity accounts at December 31, 2020: Paid-in capital: Preferred stock, 8.0%, 80, eee shares at $1 par Common stock, 303,000 shares at $1 par Paid-in capital-excess of par, preferred Paid-in capital-excess of par, common Retained earnings Treasury stock, at cost; 3,000 common shares Total shareholders' equity $ 80,000 303,eee 1,425, eee 2,475,000 8,845, eee (30,80) $12,298,888 During 2021, several events and transactions affected the retained earnings of Consolidated Paper. Required: 1. Prepare the appropriate entries for these events. a. On March 3, the board of directors declared a property dividend of 200,000 shares of Leasco International common stock that Consolidated Paper had purchased in January as an Investment (book value: $390,000). The Investment shares had a fair value of $2 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 $10 per share. c. On July 5, a 1% common stock dividend was declared and distributed. The market value of the common stock was $10 per share. d. On December 1, the board of directors declared the 8.0% cash dividend on the 80,000 preferred shares, payable on December 28 to shareholders of record December 20. e. On December 1, the board of directors declared a cash dividend of $0.40 per share on its common shares, payable on December 28 to shareholders of record December 20. 2. Prepare the shareholders' equity section of the balance sheet for Consolidated Paper, Inc., at December 31, 2021. Net Income for the year was $700,000. Prepare the appropriate entries for these events. (It no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Credit Date March 03 General Journal Investment in equity securities Gain on investments Debit 10,000 10,000 March 03 Retained earnings 400,000 Property dividends payable 400,000 March 15 No journal entry required March 31 400,000 Property dividends payable Investment in equity securities 400,000 May 03 75,000 Paid-in capital - excess of par, common Common stock 75,000 July 05 Retained earnings Common stock Paid-in capital - excess of par, common December 01 6,400 Retained earnings Cash dividends payable 6,400 December 20 No journal entry required December 28 Cash dividends payable 6,400 Cash 6,400 December 01 153,520 Retained earnings Cash dividends payable 153,520 December 20 No journal entry required 12 December 28 153,520 X Cash dividends payable Cash 153,520 2. Prepare the shareholders' equity section of the balance sheet for Consolidated Paper, Inc., at December 31, 2021. Net Income for the year was $700,000. Answer is not complete. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the shareholders' equity section of the balance sheet for Consolidated Paper, Inc. at December 31, 2021. Net income for the year was $700,000. (Negative amounts should be indicated by a minus sign.) $ 80,000 CONSOLIDATED PAPER, INC. [Shareholders' Equity section] December 31, 2021 Paid-in capital: Preferred stock Common stock Paid-in capital - excess of par, preferred Paid-in capital - excess of par, common Retained earnings Treasury stock Total shareholders' equity 1,425,000 (30,000) 1,475,000 S (Required 1 Required 2 >