The stockholder's equity of LDL Corporation at December 31, 2016 is shown below: Common stock $10 par, 100,000 shares authorized, 40,000 shares issued $ 400,000 Additional paid in capital: common stock 200,000 Total paid in capital 600,000 Retained earnings 1,500,000 Total stockholder's equity 2,100,000 During 2017, the following transactions effecting stockholder's equity occurred. i. A 5-for-4 stock split was proposed and 10,000 new shares were distributed to stockholders. ii. The company purchased 2000 shares of its common stock on the open market at $37/share. iii. The company reissued 1000 shares of treasury stock at $45 per share. iv. Issued for cash 20,000 shares of previously unissued $8 par value common stock at a price of $45 per share. v. A cash dividend of $1 per share was declared and payable on December 31. vi. A 10% of the outstanding stocks dividend was declared. The market price was $48. Net income for the year was $177,000. Required: a. Prepare journal entries to record the transactions related to stockholder's equity. b. Prepare statement of retained earnings for the year ended December 31, 2017