The Stockholders' Equity section of the balance sheets for Klee Corporation on December 31, 2015, and December 31, 2016, along with other selected account balances on the two dates is provided on page 762. (Certain information is missing from the statements.) In 2016, the following transactions affecting equity occurred:

a. Additional shares of common stock were issued in April. No other common stock was issued during the year.
b. A cash dividend of $2 per share was declared and paid on common stock in December.
c. The Treasury Stock-Preferred was purchased at par in January.
d. Additional preferred stock was issued for cash in July.
e. The yearly cash dividend of $2.00 per share was declared and paid on preferred stock outstanding as of December 3, 2016.
INSTRUCTIONS
Answer the following questions about transactions in 2016:
1. How many shares of preferred stock were outstanding at year-end?
2. How many common stock shares were outstanding at year-end?
3. How many shares of preferred stock were purchased as treasury stock?
4. How many shares of preferred stock were issued for cash?
5. What was the sales price per share of the preferred stock issued?
6. What was the total cash dividend on preferred stock?
7. What was the total cash dividend on common stock?
Analyze: What is the yearly dividend reduction because of the treasury stock purchase?

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2016 2015 Paid-in Capital Preferred Stoc (10 percent, S20 par, authorized 20,000 shares) Issued Paid-in Capital in Excess of Par Value-Preferred S 90,000 S 65,000 500 Common Stock (S1O par value, 200,000 shares authorized) Issued Paid-in Capital in Excess of Par Value- Common 50,000 500,000 10,000 S 850,500 Total Paid-in Capital Retained Earnings S 565,000 Appropriated for Plant Expansion Appropriated for Treasury Stock Unappropriated S 250,000 40,000 640,000 S 930,000 S1,780,500 15,000 S1,765,500 S 250,000 604,000 S854,000 S1,419,000 Total Retained Earnings Less Treasury Stock- Preferred Total Stockholders' Equity S1,419,000