The stockholders' equity section of Day Corporation's balance sheet at January 1 follows:

The following transactions affecting stockholders' equity occurred during the year:

Required

a. Prepare journal entries to record the foregoing transactions.

b. Prepare a statement of stockholders' equity. Net income for the year is \(\$ 351,000\).

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Common stock, $5 par value, 300,000 shares authorized, 60,000 shares Issued, 6,000 shares in treasury. Additional paid-in capital... In excess of par value.. From treasury stock Retained earnings Less: Treasury stock (6,000 shares) at cost... $ 300,000 $480,000 30,000 510,000 348,000 1,158,000 138,000 $1,020,000