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The post closing trial balance of Storey Corporation at December 31, 2015, contains the following stockholders' equity accounts. Preferred Stock (15,800 shares issued) $790,000 Common

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The post closing trial balance of Storey Corporation at December 31, 2015, contains the following stockholders' equity accounts. Preferred Stock (15,800 shares issued) $790,000 Common Stock (257,700 shares issued) 3,607,800 Pald-in Capital in Excess of Par-Preferred Stock 255,400 Paid-in Capital in Excess of Par-Common Stock 387,900 Common Stock Dividends Distributable 360,780 Retained Earnings 881,190 A review of the accounting records reveals the following. 1. No errors have been made in recording 2015 transactions or in preparing the closing entry for net income. 2. Preferred stock is $50 par, 6%, and cumulative; 15,800 shares have been outstanding since January 1, 2014 3. Authorized stock is 20,800 shares of preferred, 515,400 shares of common with a $14 par value. 4. The January 1 balance in Retained Earnings was $1,177,100. 5. On July 1, 21,000 shares of common stock were issued for cash at $17 per share. 6. On September 1, the company discovered an understatement error of $91,200 in computing depreciation in 2014, which overstated net income. The net of tax effect of $63,840 was properly debited directly to Retained Earnings. 7. A cash dividend of $360,780 was declared and properly allocated to preferred and common stock on October 1. No dividends were paid to preferred stockholders in 2014. 8. On December 31, a 10% common stock dividend was declared out of retained earnings on common stock when the market price per share was $17. 9. Net Income for the year was $566,800. 10. On December 31, 2015, the directors authorized disclosure of a $200,800 restriction of retained earnings for plant expansion. (Use Note X.) (a) dom the sind in e inen erleme in ander resented in the problem.) UUUUL U U W market 9. Net income for the year was $566,800. 10. On December 31, 2015, the directors authorized disclosure of a $200,800 restriction of retained earnings for plant expansic (a) Reproduce the Retained Earnings account for 2015. (List items in order presented in the problem.) Retained Earnings

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