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13-06 Reporting Stockholders\' Equity Using the following accounts and balances,

ID: 2333684 • Letter: 1

Question

13-06

Reporting Stockholders' Equity

Using the following accounts and balances, prepare the Stockholders' Equity section of the balance sheet using Method 1 of Exhibit 8. 30,000 shares of common stock authorized, and 1,000 shares have been reacquired.

Common Stock, $30 par

$720,000

Paid-In Capital from Sale of Treasury Stock

29,000

Paid-In Capital in Excess of Par—Common Stock

168,000

Retained Earnings

396,000

Treasury Stock

15,000

Stockholders' Equity

Paid-In Capital:

$

$

Total Paid-in Capital

$

Total

$

Total Stockholders' Equity

$

Common Stock, $30 par

$720,000

Paid-In Capital from Sale of Treasury Stock

29,000

Paid-In Capital in Excess of Par—Common Stock

168,000

Retained Earnings

396,000

Treasury Stock

15,000

Explanation / Answer

Stockholders' Equity Paid-In Capital : Common stock, $ 30 par (30000 shares of common stock authorized and 24000 shares are issued, of which 1000 shares are held in treasury stock) $720,000 Paid-In Capital in Excess of Par - Common Stock $168,000 Paid-In Capital in Excess of Par - Treasury Stock $29,000 Total Paid-In Capital $917,000 Retained Earnings $396,000 Subtotal $1,313,000 Less : Treasury Stock (1000 shares of common at $ 15 cost) $15,000 Total Stockholders' Equity $1,298,000

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