XYZ Corporation was incorporated with an authorized issue of 1,000, 6% preference shares, par value P100 each and 10,000, P10 par ordinary shares.
Following are the selected transactions of XYZ for the month of January 2016
1.) Subscription at par:
Robert Cruz 1,000 ordinary shares
Jessica Reyes 200 preferred shares
Grace Sanchez 3,000 ordinary shares
6.) Received ½ of the payment of the above subscription.
11.) Issuances of shares for cash
Lorna Vera 100 preferred shares at P105
Melisa Cruz 1,000 ordinary shares at P25
17.)Received full payment of the balance of January 2 subscription and issued stock certificate.
21.) Hired the services of Axis Consultancy Company in exchange for 2,000 ordinary shares. The market value of the services is P50,000.
23.) XYZ purchased 1,000 of its ordinary shares issued to Alma Santos at P40 per share.
30 .) During the month the company earned total revenues of P 1,000,000 and incurred expenses equivalent to 60% of total revenues.
Required:
Prepare the statement of stockholders’ equity.
Statement of Stockholders' Equity |
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Paid in Capital: |
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6% Preferred Stock, P100 par, 1,000 shares authorized and 300 Shares issued (Issued Shares = Jessica 200 + Lorna Vera 100) |
30000 |
|
Common Stock, P10 par value, 10,000 Shares authorized and 7,000 Shares Issued (Issued Shares = Robert 1000 + Grace 3000 + Melisa 1000 + Axis Consultancy 2000 = 7000) |
70000 |
|
Total Capital Stock |
100000 |
|
Additional Paid in Capital: |
||
In excess of par - preferred stock (100 Shares Issued to Lorna x (Issue Price P105 – Par Value 100) i.e. (100*5) |
$500 |
|
In excess of stated value - common stock (1000*15+30,000) |
$45,000 |
|
Total additional paid in capital |
$45,500 |
|
Total paid in capital |
$145,500 |
|
Retained Earnings (Revenue 1,000,000 - 1,000,000*60% expense) |
400000 |
|
Total Paid in Capital and retained earnings |
545500 |
|
Less: Treasury Stock (1000*P40) |
40000 |
|
Total Stockholders' Equity |
505500 |
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