P$11\mathrm{.}3($LO $2,4),$ AP The stockholders$$ equity accounts of Castle Corporation on January $1,2027,$ were as follows.

Preferred Stock $(8\%,$ $$50$ par, cumulative, $10,000$ shares authorized$)$ $ $400,000$

Common Stock $($$$1$ stated value, $2,000,000$ shares authorized$)1,000,000$

Paid$-$in Capital in Excess of Par$$Preferred Stock $100,000$

Paid$-$in Capital in Excess of Stated Value$$Common Stock $1,450,000$

Retained Earnings $1,816,000$

Treasury Stock $(10,000$ common shares$)50,000$

During $2027,$ the corporation had the following transactions and events pertaining to its stockholders$$ equity.

Feb.$1$ Issued $25,000$ shares of common stock for $$120,000.$

Apr.$14$ Sold $6,000$ shares of treasury stock$$common for $$33,000.$

Sept.$3$ Issued $5,000$ shares of common stock for a patent valued at $$35,000.$

Nov. $10$ Purchased $1,000$ shares of common stock for the treasury at a cost of $$6,000.$

Dec. $31$ Determined that net income for the year was $$452,000.$

No dividends were declared during the year.

Instructions:

$-$ Journalize the transactions and the closing entry for net income.

$-$ Enter the beginning balances in the accounts, and post the journal entries to the stockholders$$ equity accounts. $($Use T$-$accounts.$)$

$-$ Prepare a stockholders$$ equity section at December $31,2027,$ including the disclosure of the preferred dividends in arrears.

$--$ Total stockholders$$ equity $$5,350,000$

Prepare dividend entries and stockholders$$ equity section.