I- Major League Apparel has two classes of stock authorized: 6%, $10 par preferred, and $1 par value common. The following transactions affect stockholders' equity during 1 2018, its first year of operations: January 2 Issue 110,000 shares of ordinary shares for $70 per share. February 14 Issue 60,000 shares of preferred shares for $12 per share. May 8 Repurchase 11,000 shares of its own ordinary shares for $60 per share. May 31 Reissue 5,500 shares of treasury shares for $65 per share. December 1 Declare a cash dividend on its ordinary shares of $0.25 per share and a $36,000 (6% of par value) cash dividend on its preferred shares payable to all stockholders of record on December 15. The dividend is payable on December 30.(Hint: Dividends are not paid on treasury stock.) December 30 Pay the cash dividends declared on December 1. Required: 1. Record each of these transactions. 2. Prepare the stockholders'equity section of the balance sheet as of December 31, 2018. Net income for the year was $490,000.