Icon Corporation was organized during 1998. At the end of 1999, the equity section of its balance sheet appeared as follows Preferred stock ( $6 \%, \$ 20$ par, 10,000 shares authorized, 5,000 shares issued and outstanding) $\$ 100,000$

Common stock ( $\$ 10$ par, 50,000 shares authorized 11,000 shares issued, 10,000 outstanding). . . . . . . . . . . . . . . . . . . 110,000 Paid-in capital in excess of par, preferred stock . . . . . . . . . . . . . . . . . 20,000 Total contributed capital . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $\$ 230,000$

Retained earnings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Total contributed capital plus retained earnings . . . . . . . . . . . . . $\$ 330,000$

Less treasury stock ( 1,000 shares of common at cost) . . . . . . . . . . .

Total stockholders' equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $\$ 318,000$

During 2000, the following stockholders' equity transactions occurred (in chronological sequence)

a. Issued 500 shares of common stock at $\$ 13$ per share.

b. Reissued 500 shares of treasury stock at $\$ 13$ per share

c. Issued 1,000 shares of preferred stock at $\$ 25$ per share

d. Reissued 500 shares of treasury stock at $\$ 10$ per share.

e. Declared a dividend large enough to meet the current-dividend preference of the preferred stock and to pay the common stockholders $\$ 2$ per share. Dividends are recorded directly in the retained earnings account

f. Closed net income of $\$ 65,000$ to Retained Eamings. Revenues were $\$ 400,000$; expenses were $\$ 335,000$.

1. Journalize the transactions.

2. Prepare the stockholders' equity section of the balance sheet at December 31, 2000 .