Question

Return question 9 record declared a $1.50 per bare cash dividend payable on February 28 to the February 9 stockholders of Alexander Corporation reports the following components of stockholders' equity on December 31, 2016: Common stack-$25 par value, 70,000 shares authorized, 50,000 shares issued and outstanding $1,250,000 1.12 Paid-in capital in excess of par value, common stock 100,000 points Retained earnings 410,000 Total stockholders' equity $1,760,000 In year 2017, the following transactions affected its stockholders' equity accounts. Jan. 2 Purchased 5,000 shares of its own stock at $25 cash per share. Jan. Feb. 28 Paid the dividend declared on January 7. July 9 Sold 2,000 of its treasury shares at $30 cash per share. Aug. 27 sold 2,500 of its treasury shares at $20 cash per share. Sept 9 Directors declared a $2 per share cash dividend payable on October 22 to the September 23 stockholders of record Oct. 22 Paid the dividend declared on September 9. Dec. 31 closed the $72,000 credit balance (from net income) in the Income Sunnery account to Retained Earnings. Required: 1. Prepare journal entries to record each of these transactions for 2017 2. Prepare a statement of retained earnings for the year ended December 31, 2017 3. Prepare the stockholders' equity section of the company's balance sheet as of December 31, 2017
I tried every number, and could not find the correct answer for Sep. 9!

Please help!!

Answer 1

1
Date	General Journal	Debit	Credit
2-Jan	Treasury stock, common	125,000		=5000*25
	Cash		125,000
7-Jan	Retained earnings	67,500		=(50000-5000)*1.5
	Common dividend payable		67,500
28-Feb	Common dividend payable	67,500
	Cash		67,500
9-Jul	Cash	60,000		=2000*30
	Treasury stock, common		50,000	=2000*25
	Paid-in capital, treasury stock		10,000
27-Aug	Cash	50,000		=2500*20
	Paid-in capital, treasury stock	10,000
	Retained earnings	2,500
	Treasury stock, common		62,500	=2500*25
9-Sep	Retained earnings	99,000		=(50000-5000+2000+2500)*2
	Common dividend payable		99,000
22-Oct	Common dividend payable	99,000
	Cash		99,000
31-Dec	Income summary	72,000
	Retained earnings		72,000
2
	ALEXANDER CORPORATION
	Statement of Retained Earnings
	For Year Ended December 31, 2017
	Retained earnings, December 31, 2016	410,000
	Add: Net income	72,000
		482,000
	Less: Cash dividends declared	-166,500
	Less: Treasury stock reissuances	-2,500
	Retained earnings, December 31, 2017	313000
3
	ALEXANDER CORPORATION
	Stockholders’ Equity Section of the Balance Sheet
	December 31, 2017
	Common stock - $25 par value	1,250,000
	Paid-in capital in excess of par value, common stock	100,000
	Retained earnings	313,000
	Less cost of treasury stock	-12,500
	Total stockholders’ equity	1,650,500