The general ledger of Robichaud Corporation, a publicly traded company, contained the following shareholders' equity accounts in 2012:

A review of the accounting records for the year ended December 31, 2012, reveals the following information:
1. On January 1, 10,000 no par value $5 noncumulative preferred shares were issued for $50 each. An unlimited number are authorized.
2. On October 1, 50,000 no par value common shares were sold for cash at $20 per share. An unlimited number are authorized.
3. The annual preferred shareholders' dividend was declared and paid in cash in 2012.
4. On December 31, a 5% common stock dividend was declared on common shares when the share price was $22. The stock dividend is distributable on January 20.
5. Profit for the year was $872,000.
6. On December 31, the board of directors authorized a $500,000 restriction on retained earnings for a plant expansion.
Instructions
(a) Reproduce the Preferred Shares, Common Shares, Common Stock Dividends Distributable, and Retained Earnings general ledger accounts for the year.
(b) Prepare the shareholders' equity section of the statement of financial position at December 31, including any required note disclosure.

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anuary 1 Preferred shares (10,000 and 20,000 shares issued, respectively) 500,000 Common shares (320,000 and 370,000 shares issued, respectively) 2,700,000 0 2,980,000 December 31 $1,000,000 3,700,000 Common stock dividends distributable Retained earnings 407,000 3,345,000