Kinkaid Co. is incorporated at the beginning of this year and engages in a numbe
ID: 2596274 • Letter: K
Question
Kinkaid Co. is incorporated at the beginning of this year and engages in a number of transactions. The following journal entries impacted its stockholders' equity during its first year of operations. Debit 260,000 General Journal Credit Cash Common Stock, $25 Par Value Paid-In Capital in Excess of Par Value, Common Stock 24e,0e0 26,880 b. organization Expenses 17e,8e0 Common Stock, $25 Par Value Paid-In Capital in Excess of Par Value, Common Stock 128,00 42,ee0 c. Cash Accounts Receivable Building 43,580 17,000 82,800 Notes Payable Common Stock, $25 Par Value Paid-In Capital in Excess of Par Value, Common Stock 59,9ee 53,480 3e,880 d Cash 143,000 Common Stock, $25 Par value Paid-In Capital in Excess of Par Value, Common Stock 77,88e 66,000 Required: 2. How many shares of common stock are outstanding at year-end? 3. What is the amount of minimum legal capital (based on par value) at year-end? 4. What is the total paid-in capital at year-end? 5. What is the book value per share of the common stock at year-end if total paid-in capital plus retained earnings equals $795.000? Complete this question by entering your answers in the tabs below Req 2 to 4 Req S How many shares of common stock are outstanding at year-end? What is the amount of minimum legal capital (based on par value) at year-end? What is the total paid-in capital at year-end? 2. Number of outstanding shares 3 Minimum legal capitalExplanation / Answer
Answer to part 2
Numver of outstanding shares = 19936
Answer to part 3
Minimum legal capital = outstanding shares x par value per share
= 19936 x $25
= $498400
Answer to part 4
Paid in capital at year end = $656400
Answer to part 5
Issued in a 9600 240000/25 Issued in b 5120 128000/25 Issued in c 2136 53400/25 Issued in d 3080 77000/25 Total 19936Related Questions
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