Question

Using the following accounts and balances, prepare the Stockholders' Equity section of the balance sheet using Method 1 of Exhibit 8. 20,000 shares of common stock authorized, and 10,000 shares have been reacquired.

Common Stock, $70 par	$1,120,000
Paid-In Capital from Sale of Treasury Stock	56,000
Paid-In Capital in Excess of Par—Common Stock	384,000
Retained Earnings	594,000
Treasury Stock	38,000

Stockholders' Equity
Paid-In Capital:
Common Stock, $70 Par	$
Cash
Paid-in capital, common stock		$
From Sale of Treasury Stock
Total Paid-in Capital		$
Retained Earnings
Total		$
Treasury Stock
Total Stockholders' Equity		$

Answer 1

Stockholders' Equity
Paid-in capital
Common Stock, $70 par	$ 1,120,000
Paid-In Capital in Excess of Par—Common Stock	$     384,000
Paid-In Capital from Sale of Treasury Stock	$        56,000
Total paid in capital		$ 1,560,000
Retained earnings		$     594,000
Total		$ 2,154,000
Treasury stock		$     (38,000)
Total stockholders equity		$ 2,116,000

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answered by: anonymous