Question

The stockholders’ equity T accounts of I-Cards Inc. for the year ended December 31, 20Y9, are as follows.

Common Stock
			Jan. 1	Balance	700,000
			Apr. 14	Issued
				10,800 shares	324,000
			Dec. 31	Balance	1,024,000

Paid-In Capital in Excess of Par
			Jan. 1	Balance	112,000
			Apr. 14	Issued
				10,800 shares	75,600
			Dec. 31	Balance	187,600

Treasury Stock
Aug. 7	Purchased
	1,800 shares	50,400

Retained Earnings
Mar. 31	Dividend	18,000	Jan. 1	Balance	1,220,000
June. 30	Dividend	18,000	Dec. 31	Closing
Sept. 30	Dividend	18,000		(Net income)	183,000
Dec. 31	Dividend	18,000	Dec. 31	Balance	1,331,000

Prepare a statement of stockholders’ equity for the year ended December 31, 20Y9. If an amount is zero or an entry is not required, leave the box blank.

Answer 1

This is the statement of ownership rights of shareholders of a company.

Only the ending balances should be considered here.

Common stock = $1,024,000 Cr.

Paid-in capital in excess of par = $187,600 Cr.

Treasury stock = $50,400 Dr.

Retained earnings = $1,331,000 Cr.

In the books of I. C. Inc

Stockholders’ equity

As at 31/12/20Y9

Particulars	Amount $	Amount $
Contributed capital:
Common stock		1,024,000
Paid-in capital in excess of par		187,600
Total contributed capital		1,211,600
Retained earnings		1,331,000
Treasury stock		(50,400)
Total stockholders’ equity		2,492,200