Please answer question 10

DR Sar Liability $1,000 CR Compensation Expense $1,000 DR Compensation Expense $2,000 CRSAR Liability $2,000 DR Sar Liability $2,000 CR Compensation Expense $2,000 No journal entry needed Question 10 13 pt LeMahieu Company has the following capital structure at the beginning of the year. 5% Preferred stock $50 par value, 20,000 shares authorized, 6,000 shares issued and outstanding $300,000 Common stock, $10 par value, 60,000 shares authorized; 40,000 shares 400.000 issued and outstanding Paid-in capital in excess of par Total paid-in capital Retained earnings Total Stockholders' Equity 110.000 810.000 440.000 $1,250,000 Required: Record the following transactions which occurred consecutively (show all calculations): 1. A total cash dividend of $90,000 was declared and payable to stockholder of record. Record dividends payable on common and preferred in separate accounts. 2. A 15% common stock dividend was declared. The average fair value of the common stock is $18 per share. 3. Assume that net income for the year was $120,000 (record the closing entry) and the board of directors appropriated $70,000 of retained earnings for plant expansion HTML Editore