Vaughn Company reported the following amounts in the stockholders' equity section of its December 31, 2019, balance sheet. Preferred stock, 11%, $100 par (10,000 shares authorized, 2,000 shares issued) $200,000 Common stock, $5 par (92,500 shares authorized, 18,500 shares issued) 92,500 Additional paid-in capital 120,000 Retained earnings 413,000 Total $825,500 During 2020, Vaughn took part in the following transactions concerning stockholders' equity. 1. Paid the annual 2019 $11 per share dividend on preferred stock and a $2 per share dividend on common stock. These dividends had been declared on December 31, 2019. 2. Purchased 1,900 shares of its own outstanding common stock for $40 per share. Vaughn uses the cost method. 3. Reissued 600 treasury shares for land valued at $32,100. 4. Issued 530 shares of preferred stock at $105 per share. 5. Declared a 10% stock dividend on the outstanding common stock when the stock is selling for $47 per share. 6. Issued the stock dividend. 7. Declared the annual 2020 $11 per share dividend on preferred stock and the $2 per share dividend on common stock. These dividends are payable in 2021. No. Account Titles and Explanation Debit Credit 1. Dividends Payable - Preferred 22000 Dividends Payable - Common 37000 Cash 59000 Treasury Stock 76000 Cash 76000 Land 32,100 Treasury Stock 24000 Paid-in Capital from Treasury Stock 8100 4. Cash 55650 Preferred Stock 53000 Paid-in Capital in Excess of Par - Preferred Stock 2650 5. Retained Earnings 80840 Treasury Stock 24000 Paid-in Capital from Treasury Stock 8100 4. Cash 55650 Preferred Stock 53000 Paid-in Capital in Excess of Par - Preferred Stock 2650 Retained Earnings 80840 Common Stock Dividend Distributable 8600 Paid-in Capital in Excess of Par - Common Stock 72240 Common Stock Dividend Distributable 8600 Common Stock 8600 7. Retained Earnings 65670 Dividends Payable - Common 37840 Dividends Payable - Preferred 27830 VAUGHN COMPANY Stockholders' Equity December 31, 2020 Capital Stock Common Stock 101100 Preferred Stock 253000 Total Capital Stock 354100 Additional Paid-in Capital Total Paid-in Capital Retained Earnings Total Paid-in Capital and Retained Earnings Less 9 : Treasury Stock 52000 Total Stockholders' Equity