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Using the following accounts and balances, prepare the Stockholders’ Equity sect

ID: 2576517 • Letter: U

Question

Using the following accounts and balances, prepare the Stockholders’ Equity section of the balance sheet. Refer to the lists of Accounts and Amount Descriptions provided for the exact wording of the answer choices for text entries.

Two hundred fifty thousand shares of common stock are authorized, and 15,400 shares have been reacquired.

Common Stock, $55 par $11,660,000 Paid-In Capital from Sale of Treasury Stock 327,000 Paid-In Capital in Excess of Par—Common Stock 3,460,000 Retained Earnings 18,600,000 Treasury Stock 1,001,000

Explanation / Answer

Solution:

Stockholders’ Equity Section

Stockholders' Equity

Capital Stock

   Common Stock, $55 Par value, 250,000 Shares authorized.

   15,400 Shares issued and outstanding

$11,660,000

Additional Paid in Capital

Paid in Capital in Excess of Par - Common Stock

$3,460,000

Paid in Capital in Excess of Par - Treasury Stock

$327,000

Retained Earnings

$18,600,000

Less: Treasury Stock

-$1,001,000

Total Stockholders' Equity

$33,046,000

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Stockholders' Equity

Capital Stock

   Common Stock, $55 Par value, 250,000 Shares authorized.

   15,400 Shares issued and outstanding

$11,660,000

Additional Paid in Capital

Paid in Capital in Excess of Par - Common Stock

$3,460,000

Paid in Capital in Excess of Par - Treasury Stock

$327,000

Retained Earnings

$18,600,000

Less: Treasury Stock

-$1,001,000

Total Stockholders' Equity

$33,046,000