Question

Prepare Equity section of Balance sheet at 12/31/2xx2

$s Shares 20,000 Data set ABC reported for 2XX1 Common stock at par $ 100,000 Additial paid in capital : Common $ 500,000 Perferred stock $ 200,000 Retained earnings $ 650,000 5,000 $ 7.00 perferred dividend per share For 2xx2 ABC recorded Net Income $ 320,000 Issue more common shares on 1/1 Common stock at par $ 50,000 Additial paid in capital : Common $ 300,000 Paid Dividends to common and preferred totaling $ 185,000 Bought shares from market (Treasury Stock] 10,000 New shares New shares 3,000 $55 paid per share $5 par To Do a. Prepare Equity section of Balance sheet at 12/31/2xx2

Answer 1

ДА В DE Balance Sheet (Partial) At 12/31/2xx2 Stockholders' Equity $ 150,000 Paid in capital Common stock, 30,000 shares issued at $5 par value each Preferred stock, 5,000 shares issued at $40 par value each Additional paid in capital : common $ 200,000 $ 800,000 Total paid in capital $ 1,150,000 Retained earnings $ 785,000 Total paid in capital and retained earnings $ 1,935,000 less: treasury stock (3,000 common shares) $ 165,000 Total Stockholders' Equity $ 1,770,000

for formulas and calculations, refer to the image below -

B2 X for a А в c D E al Balance Sheet (Partial) At 12/31/2xx2 Stockholders' Equity Paid in capital Common stock, 30,000 shares issued at $5 par value each =30000*5 Preferred stock, 5,000 shares issued at $40 par value each =4000005 Additional paid in capital : common =500000+300000 Total paid in capital =SUM(D6:08) Retained earnings =650000+320000-185000 Total paid in capital and retained earnings =D9+D10 less: treasury stock (3,000 common shares) =-3000*55 Total Stockholders' Equity =D11+D12

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