Question

Morrow Enterprises Inc. manufactures bathroom fixtures. The stockholders’ equity accounts of Morrow Enterprises Inc., with balances on January 1, 2016, are as follows:

Common stock, $20 stated value; 500,000 shares authorized, 399,000 issued	$7,980,000
Paid-In Capital in Excess of Stated Value—Common Stock	877,800
Retained Earnings	34,554,000
Treasury Stock (22,500 shares, at cost)	382,500

The following selected transactions occurred during the year:

Jan.	22	Paid cash dividends of $0.07 per share on the common stock. The dividend had been properly recorded when declared on December 1 of the preceding fiscal year for $26,355.
Apr.	10	Issued 73,000 shares of common stock for $23 per share.
Jun.	6	Sold all of the treasury stock for $26 per share.
Jul.	5	Declared a 2% stock dividend on common stock, to be capitalized at the market price of the stock, which is $24 per share.
Aug.	15	Issued the certificates for the dividend declared on July 5.
Nov.	23	Purchased 30,000 shares of treasury stock for $20 per share.
Dec.	28	Declared a $0.09-per-share dividend on common stock.
	31	Closed the credit balance of the income summary account, $1,162,500.
	31	Closed the two dividends accounts to Retained Earnings.

	Required:
A.	Enter the January 1 balances in T accounts for the stockholders’ equity accounts listed.