lr enterprises inc had the following equity account balances at december 31 2013/

Sales during 2014 totalled $1,560,000 and operating expenses were $998,000. Assume that income tax is accrued at year-end at the rate of 30% of annual operating income. On March 1, 2014, 200,000 of the common shares were repurchased at $1.70 each and then cancelled. The board of directors declared and paid the annual cash dividend on the preferred shares on December 1 and an 8% common share dividend was declared and distributed on the same day when the market price per common share was $1.80.