On January 1, 2022, Geffrey Corporation had the following stockholders' equity accounts. Common Stock ($20 par value, 60,000 shares issued and outstanding) $1,200,000 Paid-in Capital in Excess of Par-Common Stock Retained Earnings During the year, the following transactions occurred. Feb. Mar. Apr. July Dec. 1 Declared a $1 cash dividend per share to stockholders of record on February 15, payable March 1. Paid the dividend declared in February. 1 200,000 600,000 1 Announced a 2-for-1 stock split. Prior to the split, the market price per share was $36. 1 Declared a 10% stock dividend to stockholders of record on July 15, distributable July 31. On July 1, the market price of the stock was $13 per share. Issued the shares for the stock dividend. 31 1 31 Declared a $0.50 per share dividend to stockholders of record on December 15, payable January 5, 2023. Determined that net income for the year was $350,000. Instructions a. Journalize the transactions and the closing entries for net income and dividends. b. Enter the beginning balances, and post the entries to the stockholders' equity accounts. (Use T-accounts.) (Note: Open additional stockholders' equity accounts as needed.) c. Prepare the stockholders' equity section at December 31. c. Total stockholders' equity $2,224,000 Prepare stockholders' equity section and compute allocation of dividends.
