Alexander Corporation reports the following components ofstockholders’ equity on December 31, 2016: Common stock—$25...

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Accounting

Alexander Corporation reports the following components ofstockholders’ equity on December 31, 2016: Common stock—$25 parvalue, 70,000 shares authorized, 42,000 shares issued andoutstanding $ 1,050,000 Paid-in capital in excess of par value,common stock 84,000 Retained earnings 382,000 Total stockholders’equity $ 1,516,000 In year 2017, the following transactionsaffected its stockholders’ equity accounts. Jan. 2 Purchased 4,200shares of its own stock at $25 cash per share. Jan. 7 Directorsdeclared a $1.50 per share cash dividend payable on February 28 tothe February 9 stockholders of record. Feb. 28 Paid the dividenddeclared on January 7. July 9 Sold 1,680 of its treasury shares at$30 cash per share. Aug. 27 Sold 2,100 of its treasury shares at$20 cash per share. Sept. 9 Directors declared a $2 per share cashdividend payable on October 22 to the September 23 stockholders ofrecord. Oct. 22 Paid the dividend declared on September 9. Dec. 31Closed the $64,000 credit balance (from net income) in the IncomeSummary account to Retained Earnings. Required: 1. Prepare journalentries to record each of these transactions for 2017. 2. Prepare astatement of retained earnings for the year ended December 31,2017. 3. Prepare the stockholders’ equity section of the company’sbalance sheet as of December 31, 2017.

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1 Date Account title Debit credit jan 2 Treasury stock 105000 cash 420025 105000 jan 7 cash dividend 56700 Dividend payable 42000420015 56700 Feb 28 Dividend payable 56700 cash 56700 July 9 cash 168030 50400 Treasury stock 168025 42000 Paidin capital in excess of COSt See Answer

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In: AccountingAlexander Corporation reports the following components ofstockholders’ equity on December 31, 2016: Common stock—$25 par...Alexander Corporation reports the following components ofstockholders’ equity on December 31, 2016: Common stock—$25 parvalue, 70,000 shares authorized, 42,000 shares issued andoutstanding $ 1,050,000 Paid-in capital in excess of par value,common stock 84,000 Retained earnings 382,000 Total stockholders’equity $ 1,516,000 In year 2017, the following transactionsaffected its stockholders’ equity accounts. Jan. 2 Purchased 4,200shares of its own stock at $25 cash per share. Jan. 7 Directorsdeclared a $1.50 per share cash dividend payable on February 28 tothe February 9 stockholders of record. Feb. 28 Paid the dividenddeclared on January 7. July 9 Sold 1,680 of its treasury shares at$30 cash per share. Aug. 27 Sold 2,100 of its treasury shares at$20 cash per share. Sept. 9 Directors declared a $2 per share cashdividend payable on October 22 to the September 23 stockholders ofrecord. Oct. 22 Paid the dividend declared on September 9. Dec. 31Closed the $64,000 credit balance (from net income) in the IncomeSummary account to Retained Earnings. Required: 1. Prepare journalentries to record each of these transactions for 2017. 2. Prepare astatement of retained earnings for the year ended December 31,2017. 3. Prepare the stockholders’ equity section of the company’sbalance sheet as of December 31, 2017.