Prepare in proper form the stockholders\' equity section of the balance sheet fr
ID: 2492527 • Letter: P
Question
Prepare in proper form the stockholders' equity section of the balance sheet from the following selected accounts and balances taken from the adjusted trial balance of Thomas Corporation on June 30, 20x5.
Partial Adjusted Trial Balance
450,000
300,000
15,000
75,000
30,000
Partial Adjusted Trial Balance
Account Debit Credit Common Stock—$10 stated value, 50,000 shares authorized, 45,000 shares outstanding450,000
Preferred Stock—$100 par value, 8 percent cumulative convertible, 3,000 shares authorized and outstanding300,000
Additional Paid-in Capital, Preferred15,000
Additional Paid-in Capital, Common75,000
Retained Earnings30,000
Explanation / Answer
STOCKHOLDER'S EQUITY Capital Stock: Preferred Stock- ($100 par value, 8 percent cumulative, 3,000 shares authorized, 3,000 shares issued and outstanding) $300,000 Common Stock- ($10 par value, 50,000 shares authorized, 45,000 shares issued and outstanding) $450,000 $750,000 Additional paid-in capital: Paid-in Capital in excess of par - preferred stock $15,000 Paid-in Capital in excess of par - common stock $75,000 $90,000 Total Paid-In Capital $840,000 Retained Earnings $30,000 Total Stockholder's Equity $870,000