Reither Co. reports the following information for 2014: sales revenue $768,900;
ID: 2489185 • Letter: R
Question
Reither Co. reports the following information for 2014: sales revenue $768,900; cost of goods sold $502,400; operating expenses $83,200; and an unrealized holding loss on available-for-sale securities for 2014 of $60,000. It declared and paid a cash dividend of $12,000 in 2014. C. Reither Co. has January 1, 2014, balances in common stock $351,400; accumulated other comprehensive income $83,200; and retained earnings $95,400. It issued no stock during 2014. Prepare a statement of stockholders' equity.Explanation / Answer
Reither Company Income statement for the Year ended Dec 31,2014. Details Amt $ Sales revenue 768,900 Cost of Goods Sold 502,400 Gross Profit 266,500 Operating Expenses 83,200 Net Income 183,300 Reither Company Statement of Shareholders' Equity for the Year ended Dec 31,2014. Details AmT $ AmT $ Common Stock 351,400 Reatined Earning Opening Balance Jan 1.2014 95,400 Add Net income of the year= 183,300 Less Dividends paid (12,000) Reatined Earning Balance Dec 312.014 266,700 Accumulated Other Comprehensive Income Opening Balance Jan 1 2014. 83,200 Less: Unrealized holding loss on Available for sale secuirty during 2014= (60,000) Closing Balance Accumulated Other Comprehensive income= 23,200 Total Stockholders' Equity as on Dec 31.2014. 641,300