Exercise $18-23($Algo$)$ Transactions affecting retained earnings $[$LO$18-6,18-7,18-8]$

The balance sheet of Consolidated Paper, Incorporated, included the following shareholders$$ equity accounts at December $31,2023$:

Paid$-$in capital:

Preferred stock, $8\mathrm{.}0\%,85,000$ shares at $$1$ par $ $85,000$

Common stock, $353,500$ shares at $$1$ par $353,500$

Paid$-$in capital$$excess of par, preferred $1,475,000$

Paid$-$in capital$$excess of par, common $2,525,000$

Retained earnings $8,545,000$

Treasury stock, at cost; $3,500$ common shares $(38,500)$

Total shareholders' equity $ $12,945,000$

During $2024,$ several events and transactions affected the retained earnings of Consolidated Paper.

Required:

Prepare the appropriate entries for these events:

On March $3,$ the board of directors declared a property dividend of $225,000$ shares of Leasco International common stock that Consolidated Paper had purchased in January as an investment $($book value: $$885,000).$ The investment shares had a fair value of $$4$ per share and were distributed March $31$ to shareholders of record March $15.$

On May $3,$ a $5-$for$-4$ stock split was declared and distributed. The stock split was effected in the form of a $25\%$ stock dividend. The market value of the $$1$ par common stock was $$11$ per share.

On July $5,$ a $3\%$ common stock dividend was declared and distributed. The market value of the common stock was $$11$ per share.

On December $1,$ the board of directors declared the $8\mathrm{.}0\%$ cash dividend on the $85,000$ preferred shares, payable on December $28$ to shareholders of record December $20.$

On December $1,$ the board of directors declared a cash dividend of $$0\mathrm{.}60$ per share on its common shares, payable on December $28$ to shareholders of record December $20.$

Prepare the shareholders' equity section of the balance sheet for Consolidated Paper, Incorporated at December $31,2024.$ Net income for the year was $$750,000.$