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The books of Tamarisk Corporation carried the following account balances as of December 31, 2020. Cash Preferred Stock (6% cumulative, nonparticipating. $50 par) Common Stock

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The books of Tamarisk Corporation carried the following account balances as of December 31, 2020. Cash Preferred Stock (6% cumulative, nonparticipating. $50 par) Common Stock (no-par value, 283,000 shares issued) Paid-in Capital in Excess of Par-Preferred Stock Treasury Stock (common 2,600 shares at cost) Retained Earnings $ 177,000 304,000 1,415,000 144,000 30,400 103,400 The company decided not to pay any dividends in 2020. The board of directors, at their annual meeting on December 21.2021, declared the following: "The current year dividends shall be 6% on the preferred and $0.50 per share on the common. The dividends in arrears shall be paid by issuing 1.520 shares of treasury stock" At the date of declaration, the preferred is selling at $82 per share, and the common at $12 per share. Net income for 2021 is estimated at $82,800. (a) Prepare the journal entries required for the dividend declaration and payment, assuming that they occur simultaneously. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter O for the amounts. Round answers to decimal places, es 3,487) Account Titles and Explanation Debit Credit For preferred dividends in arrears: For preferred current year dividendi treasury stock At the date of declaration, the preferred is selling at $82 per share, and the common at $12 per share. Net income for 2021 is estimated at $82,800. (a) Prepare the journal entries required for the dividend declaration and payment, assuming that they occur simultaneously. (Credit account titles are automatically indented when amount is entered. Do not Indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts. Round answers to decimal places, eg. 3,487) Debit Credit Account Titles and Explanation For preferred dividends in arrears: For preferred current year dividend: For common share dividend: (b) Cauld Tamarisk Corporation give the preferred stockholders 2 years' dividends and common stockholders a 50 cents per share dividend, all in cash? No Yes pok and Media List of Accounts

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