Question

Larkspur Corporation’s post-closing trial balance at December 31, 2017, is shown as follows.

LARKSPUR CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 2017
		Dr.		Cr.
Accounts payable				$ 273,600
Accounts receivable		$ 496,000
Accumulated depreciation—buildings				176,000
Additional paid-in capital in excess
of par—common				1,428,000
From treasury stock				146,000
Allowance for doubtful accounts				32,000
Bonds payable				290,000
Buildings		1,466,000
Cash		198,000
Common stock ($1 par)				182,000
Dividends payable (preferred stock—cash)				4,400
Inventory		569,000
Land		381,000
Preferred stock ($50 par)				450,000
Prepaid expenses		42,000
Retained earnings				329,000
Treasury stock (common at cost)		159,000
Totals		$3,311,000		$3,311,000

At December 31, 2017, Larkspur had the following number of common and preferred shares.

		Common		Preferred
Authorized		546,000		54,000
Issued		182,000		9,000
Outstanding		169,000		9,000

The dividends on preferred stock are $4 cumulative. In addition, the preferred stock has a preference in liquidation of $50 per share.

Prepare the stockholders’ equity section of Larkspur’s balance sheet at December 31, 2017. (Enter account name only and do not provide descriptive information.)

LARKSPUR CORPORATION Stockholders’ Equity December 31, 2017For the Year Ended December 31, 2017For the Quarter Ended December 31, 2017
Additional Paid-in CapitalCapital StockCurrent AssetsCurrent LiabilitiesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesProperty, Plant and EquipmentStockholders' EquityTotal AssetsTotal Capital StockTotal Current AssetsTotal Current LiabilitiesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Property, Plant and EquipmentTotal Stockholders' Equity
			$
Additional Paid-in Capital    Capital Stock    Current Assets    Current Liabilities    Intangible Assets    Long-term Investments    Long-term Liabilities    Property, Plant and Equipment    Stockholders' Equity    Total Assets    Total Capital Stock    Total Current Assets    Total Current Liabilities    Total Intangible Assets    Total Liabilities    Total Liabilities and Stockholders' Equity    Total Long-term Investments    Total Long-term Liabilities    Total Paid-in Capital    Total Paid-in Capital and Retained Earnings    Total Property, Plant and Equipment    Total Stockholders' Equity
Additional Paid-in CapitalCapital StockCurrent AssetsCurrent LiabilitiesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesProperty, Plant and EquipmentStockholders' EquityTotal AssetsTotal Capital StockTotal Current AssetsTotal Current LiabilitiesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Property, Plant and EquipmentTotal Stockholders' Equity
Additional Paid-in Capital    Capital Stock    Current Assets    Current Liabilities    Intangible Assets    Long-term Investments    Long-term Liabilities    Property, Plant and Equipment    Stockholders' Equity    Total Assets    Total Capital Stock    Total Current Assets    Total Current Liabilities    Total Intangible Assets    Total Liabilities    Total Liabilities and Stockholders' Equity    Total Long-term Investments    Total Long-term Liabilities    Total Paid-in Capital    Total Paid-in Capital and Retained Earnings    Total Property, Plant and Equipment    Total Stockholders' Equity
Additional Paid-in CapitalCapital StockCurrent AssetsCurrent LiabilitiesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesProperty, Plant and EquipmentStockholders' EquityTotal AssetsTotal Capital StockTotal Current AssetsTotal Current LiabilitiesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Property, Plant and EquipmentTotal Stockholders' Equity
AddLess :
Additional Paid-in CapitalCapital StockCurrent AssetsCurrent LiabilitiesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesProperty, Plant and EquipmentStockholders' EquityTotal AssetsTotal Capital StockTotal Current AssetsTotal Current LiabilitiesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Property, Plant and EquipmentTotal Stockholders' Equity			$

Answer 1

Solution:

Stockholders equity:

Capital stock:
Preferred stock, $4 cumulative, par value $50 per share, authorized 54000 shares, issued and outstanding 9000 shares	$450,000
Common stock, par value $1 per share, authorized 546,000 shares , issued 182,000 shares, and outstanding 169,000 shares	$182,000
Total capital stock	$632,000
Additional paid in capital:
In excess of par value	$1,428,000
From sale of treasury stock	$146,000
Total paid in capital	$2,206,000
Retained Earnings	$329,000
Total paid in capital and retained earnings	$2,535,000
Less: treasury stock, 13000 shares at cost	$159,000
Total stockholders equity	$2,376,000