Kohler Corporation reports the following components of stockholders’ equity on December 31, 2015:
|Common stock-$20 par value, 100,000 shares authorized, 50,000 shares issued and outstanding||$1,000,000|
|Paid-in capital in excess of par value, common stock||80,000|
|Total stockholders’ equity||$1,480,000|
In year 2016, the following transactions affected its stockholders’ equity accounts.
|Jan. 1||Purchased 4,500 shares of its own stock at $25 cash per share.|
|Jan. 5||Directors declared a $4 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record.|
|Feb. 28||Paid the dividend declared on January 5.|
|July 6||Sold 1,688 of its treasury shares at $29 cash per share|
|Aug. 22||Sold 2,812 of its treasury shares at $22 cash per share.|
|Sept. 5||Directors declared a $4 per share cash dividend payable on October 28 to the September 25 stockholders of record.|
|Oct. 28||Paid the dividend declared on September 5.|
|Dec. 31||Closed the $368,000 credit balance (from net income) in the Income Summary account to Retained Earnings|
- Prepare journal entries to record each of these transactions for 2016.