1. Record the journal entry for each transaction in 2018.

2. Prepare the stockholders equity section of the balance sheet at December 31, 2017 and

   December 31, 2018, in good form. Present the numbers as they would be displayed in

   comparable balance sheets.

3. Calculate earnings-per-share for 2018.

4. Calculate earnings-per-share for 2018 assuming no preferred dividends were paid.

Johannsson Co. reported the following on their balance sheet at December 31, 2017: Shareholders' equity Additional paid-in capital, preferred stock Retained earnings Preferred stock, 5% ($50 par value, 10,000 shares $ 80,000 780,000 authorized, 4,000 shares issued) Treasury shares at cost (1,200 shares) 200,000 (8,400) 628,000 $ 1,679,600 Common stock (no-par value, 75,000 shares authorized, 31,400 shares issued) Total shareholders' equity The following transactions occurred during 2018: 2/19 2/25 3/1 5/12 7/1 9/28 Declared a dividend of $.15 per common share to shareholders of record on 3/01 Sold 2,000 shares of preferred stock at a market price of $65 per share. Paid the common stock dividend declared on 2/19. Purchased 7,000 shares of common stock at a market price of $13 per share. Paid the annual dividend on the 5% preferred stock. Sold 2,500 shares of treasury stock at a market price of $25 per share. Johannsson Co. uses the weighted-average method to determine the cost of treasury shares. Sold 3,000 shares of common stock at a market price of $22 per share. Net income for 2018 was $230,000. 11/20 12/31