please expaine where each of these number came from. specialy 6500 and 43000 cap

Question

please expaine where each of these number came from. specialy 6500 and 43000

capital stock Preferred stock: 10 percent, par $10, authorized 21,000 shares Common stock: par $8, authorized 50,000 shares During 2014, the following transactions occurred in the order given a. Issued a total of 40,000 shares of the common stock to the four organizers at $12 per share b. Sold 5,500 shares of the preferred stock at $16 per share c. Sold 3,000 shares of the common stock at $15 per share and 1,000 shares of the preferred stock at $26 d. Net income for the year was $96,000 Required Prepare the Stockholders' Equity section of the balance sheet at December 31, 2014 Step-by-step solution Step 1 of 1 Stockholders' Equity Contributed capital Preferred stock authorized 21,000 shares, issued and outstanding, $ 65,000 6,500 shares... Common stock authorized 50,000 shares, issued and outstanding, 344,000 49,000 181,000 639,000 96,000 $735,000 43,000 shares.... Capital in excess of par, preferred Capital in excess of par, common Total contributed capital Retained earnings Total stockholders' equity

Explanation / Answer

Anything in excess of par is capital in excess of par Common paid in a) Common Stock stock excess of par 40,000 shares *8 320000 40,000 shares *(12-8) 160000 c) 3000 shares *8 24000 3000 shares *(15-8) 21000 total 344000 181000 (thus total common shares issue 40000+3000=43000 shares) preferred stock preferred paid in stock excess of par b) 5500 shares *10 55000 5500 shares *(16-10)= 33000 c) 1000 shares *10 10000 1000 shares *(26-10) 16000 total 65000 49000 (total preferred shares issued 5500+1000=6500 shares)

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