Problem 15-2 Prepare the stockholders’ equity section as of April 30, 2017. Net
ID: 2393996 • Letter: P
Question
Problem 15-2
Prepare the stockholders’ equity section as of April 30, 2017. Net income for the first 4 months of 2017 was $137,100. (Enter account name only and do not provide descriptive information.)
Problem 15-2
Wildhorse Company had the following stockholders’ equity as of January 1, 2017.Common stock, $5 par value, 20,200 shares issued $101,000 Paid-in capital in excess of par—common stock 303,000 Retained earnings 319,000 Total stockholders’ equity $723,000
During 2017, the following transactions occurred.
Feb. 1 Wildhorse repurchased 2,060 shares of treasury stock at a price of $18 per share. Mar. 1 720 shares of treasury stock repurchased above were reissued at $16 per share. Mar. 18 490 shares of treasury stock repurchased above were reissued at $15 per share. Apr. 22 650 shares of treasury stock repurchased above were reissued at $20 per share.
Prepare the stockholders’ equity section as of April 30, 2017. Net income for the first 4 months of 2017 was $137,100. (Enter account name only and do not provide descriptive information.)
WILDHORSE COMPANYStockholders’ Equity April 30, 2017For the Year Ended April 30, 2017For the Quarter Ended April 30, 2017 $ Additional Paid-in Capital Capital Stock Current Assets Current Liabilities Intangible Assets Long-term Investments Long-term Liabilities Property, Plant and Equipment Stockholders' Equity Total Assets Total Capital Stock Total Current Assets Total Current Liabilities Total Intangible Assets Total Liabilities Total Liabilities and Stockholders' Equity Total Long-term Investments Total Long-term Liabilities Total Paid-in Capital Total Paid-in Capital and Retained Earnings Total Property, Plant and Equipment Total Stockholders' Equity AddLess : Additional Paid-in Capital Capital Stock Current Assets Current Liabilities Intangible Assets Long-term Investments Long-term Liabilities Property, Plant and Equipment Stockholders' Equity Total Assets Total Capital Stock Total Current Assets Total Current Liabilities Total Intangible Assets Total Liabilities Total Liabilities and Stockholders' Equity Total Long-term Investments Total Long-term Liabilities Total Paid-in Capital Total Paid-in Capital and Retained Earnings Total Property, Plant and Equipment Total Stockholders' Equity $
Explanation / Answer
Solution:
Statement of Retained Earnings Particulars Amount Beginning retained earnings $319,000.00 Add: Net Income $137,100.00 Less: Loss from sale of treasury stock (720*$2 + 490*$3) $2,910.00 Ending Retained Earnings $453,190.00