The post-closing trial balance of Pharoah Corporation at December 31, 2022, contains the following stockholders' equity accounts Preferred Stock (14,000 shares issued) Common Stock (240,000 shares issued) $700,000 3,600,000 Paid-in Capital in Excess of Par-Preferred Stock 240,000 Paid-in Capital in Excess of Par-Common Stock Common Stock Dividends Distributable Retained Earnings 410,000 360,000 934,820 A review of the accounting records reveals the following 1 No errors have been made in recording 2022 transactions or in preparing the closing entry for net income. 2 3. Preferred stock is $50 par, 6%, and cumulative: 14,000 shares have been outstanding since January 1.2021 Authorized stock is 19.000 shares of preferred. 480.000 shares of common with a $15 par value 4 The January 1 balance in Retained Earnings was $1.170,000 5. 7 On July 1, 18.100 shares of common stock were issued for cash at $16 per share On September 1, the company discovered an understatement error of $87,400 in computing salaries and wages expense in 2021. The net of tax effect of $61.180 was properly debited directly to Retained Earnings A cash dividend of $360,000 was declared and property allocated to preferred and common stock on October 1 No dividends were paid to preferred stockholders in 2021 On December 31 a 10% common stock dividend was declared out of retained earnings on common stock v price per share was $16 arket 9 Net income for the year was $570,000 20 On December 31, 2022 the directors authorized disclosure of a $190,000 restriction of retained earnings for plane expansion (Use Note X