PLEASE HELP CORRECT OR COMPLETE THIS.

Kohler Corporation reports the following components of stockholders equity at December 31 of the prior year.

Common stock$20 par value, 100,000 shares authorized, 55,000 shares issued and outstanding $ 1,100,000 Paid-in capital in excess of par value, common stock 70,000 Retained earnings 430,000 Total stockholders' equity $ 1,600,000 During the current year, the following transactions affected its stockholders equity accounts.

January 2 Purchased 5,000 shares of its own stock at $25 cash per share. January 5 Directors declared a $4 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 2,500 of its treasury shares at $29 cash per share. August 22 Sold 2,500 of its treasury shares at $21 cash per share. September 5 Directors declared a $4 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 $428,000 credit balance (from net income) in the Income Summary account to Retained Earnings. Required: Prepare journal entries to record each of these transactions. Prepare a statement of retained earnings for the current year ended December 31. Prepare the stockholders equity section of the balance sheet as of December 31 of the current year.

No Date General Journal

1 January 02

Debit: Treasury stock, Common 125,000 Credit: Cash 125,000

2 January 05

Debit: Retained earnings 220,000 Credit: Common dividend payable 220,000

3 February 28

Debit: Common dividend payable 220,000 Credit: Cash 220,000

4 July 06

Debit: Cash 72,500 Credit: Treasury stock, Common ??? Credit: Paid-In capital, Treasury stock ???

5 August 22

Debit: Cash 52,500 Credit: Paid-In capital, Treasury stock ??? Credit: Retained earnings ??? Credit: Treasury stock, Common ???

6 September 05

Debit: Retained earnings 220,000 Credit: Common dividend payable 220,000

7 October 28

Debit: Common dividend payable 220,000 Credit: Cash 220,000

8 December 31

Debit: Retained earnings 428,000 Credit: Income summary 428,000

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Prepare a statement of retained earnings for the current year ended December 31. Note: Amounts to be deducted should be indicated by a minus sign.

KOHLER CORPORATION Statement of Retained Earnings For Current Year Ended December 31

Retained earnings, December 31, prior year $430,000

Add: Net income 428,000

Less: Cash dividends declared (218,000) ???

Retained earnings, December 31, current year $640,000

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Prepare the stockholders equity section of the balance sheet as of December 31 of the current year.

KOHLER CORPORATION

Stockholders' Equity Section of the Balance Sheet

December 31

Common stock - $20 par value $1,100,000

Paid-in capital in excess of par value, common stock 70,000

Total contributed capital 1,170,000

Retained earnings 218,000

Total stockholders' equity $1,388,000