Required information Problem 11-26A (Algo) Recording and reporting stock transactions and cash dividends across two accounting cycles LO 11-3, 11-6 [The following information applies to the questions displayed below) Sun Corporation received a charter that authorized the issuance of 115,000 shares of $4 par common stock and 18,000 shares of $75 par, 6 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation. Year 1 Jan. 3 Sold 17,250 shares of the 54 par common stock for $6 per share. 12 Sold 1,800 shares of the percent preferred stock for 85 per share. Apr. 5 sold 23,000 shares of the 54 par con stook for s8 per share. Dee. During the year, earned $300, 400 in cash revenue and paid $240,300 for cash operating expenses. 31 Declared the cash dividend on the outstanding shares of preferred stock for Year 1. The dividend will be paid on February 15 to stockholders of record on January 10, Year 2. Year 2 Feb. 15 Paid the cash dividend declared on December 31, Year 1. Mar.) Bold 2.700 shares of the 575 par preferred stock for $95 per share. May. 5 Purchased 550 shares of the common stock as treasury stock at $ per share Dec. During the year, earned $251,800 in cash revenues and paid $178,800 for cash operating expenses. 31 Declared the wal dividend on the preferred stock and a $0.50 per share dividend on the common stock Problem 11-26A (Algo) Parta Renuired Problem 11-26A (Algo) Parta Required a. Organize the transaction data in accounts under an accounting equation (Enter any decreases to account balances with a minus sign. Not all cells require input.) SUN CORPORATION Accounting Equation Stockholders' Equity Liabili Evene Dividends Payable Preferred Stock Common Stock Paldin Capital in Excess of Par Preferred Stock Treasury Sick Rated Earnings Fald-in Capitalin Excess of Par Cost . . + . - Year Jans Jan 12 Aps Dec 31 Dec 1 Dool Bal . - - - - - - - . .... 0 Required information Year 1 Jans Jan. 12 Apes Dec 31 Decat Dec 31 Ba . . 0 .. 0 0. . . - Year 2 Feb 15 M Mays Dec 31 Dec 11 Dec 11 . .... . . ... +++ . . lity aid-in Capital in Excess of Par Common Stock - Treasury Stock Retained Earnings Account Titles for Retained Earnings + ++ IIIIII o - 0 + 0 - + + III + + : + - - Problem 11-26A (Algo) Part c-1. What is the number of common shares outstanding at the end of Year 1? At the end of Year 2? How many common shares had been issued at the end of Year 1? At the end of Year 2? (Amounts to be deducted should be indicated with minus sign.) Schedule of Number of Shares of Common Stock Shares Shares Issued Outstanding Year 1 0 0 Totals Year 2 Totals 0 0 c-2. Are there any differences between issued and outstanding common shares for Year 1 and Year 2? Issued common shares Outstanding common shares