GL1101 (Algo) - Based on Problem 11-2A LO C3, P2, P3

Ontario Company reports the following components of stockholders equity on January 1.

Common stock$10 par value, 110,000 shares authorized, 40,000 shares issued and outstanding	$ 400,000
Paid-in capital in excess of par value, common stock	60,000
Retained earnings	330,000
Total stockholders' equity	$ 790,000

During the year, the following transactions affected its stockholders equity accounts.

January 2	Purchased 4,000 shares of its own stock at $23 cash per share.
January 5	Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record.
February 28	Paid the dividend declared on January 5.
July 6	Sold 2,000 of its treasury shares at $27 cash per share.
August 22	Sold 2,000 of its treasury shares at $19 cash per share.
September 5	Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record.
October 28	Paid the dividend declared on September 5.
December 31	Closed the $444,000 credit balance (from net income) in the Income Summary account to Retained Earnings.

During the year, the following transactions affected its stockholders' equity accounts. Prepare the necessary journal entries. If no ournal entry is required, select "No journal entry required" in the first input box. Prepare the Statement of Retained Earnings for Ontario Corporation for the year ended December 31. Prepare the stockholders' equity section of Ontario Corporation's balance sheet as of December 31. For each transaction, indicate the impact on total stockholders' equity. Enter decreases to equity as negative values. Verify that total Stockholders' equity as of December 31 , as calculated, agrees with the amount reported on the balance sheet