Kohler corporation reports the following components of stockholders' equity on december 31, 2015:
common stock—$10 par value, 100,000 shares authorized, 40,000 shares issued and outstanding
$ 400,000
paid-in capital in excess of par value, common stock 60,000
retained earnings 270,000
total stockholders' equity $ 730,000
in year 2016, the following transactions affected its stockholders' equity accounts.
jan. 1 purchased 4,000 shares of its own stock at $20 cash per share.
jan. 5
directors declared a $2 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 1,500 of its treasury shares at $24 cash per share.
aug. 22 sold 2,500 of its treasury shares at $17 cash per share.
sept. 5
directors declared a $2 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 $388,000 credit balance (from net income) in the income summary account to retained earnings.
prepare journal entries to record each of these transactions for 2016.