Carlos - Course Content Cl. Secure ! https://edugen.w edugen/lti/main.uni Me E W
ID: 341571 • Letter: C
Question
Carlos - Course Content Cl. Secure ! https://edugen.w edugen/lti/main.uni Me E WileyPLUS rne Kimmel, Financial Accounting, 8e RESOURCESProblem 11-3A Your answer is partially correct. Try again. On December 31, 2016, Cullumber Company had 1,245,000 shares of S6 par common stock issued and outstanding. At December 31, 2016, stoccholders equity had the amounts listed here Common Stock addonal Faid-in .800,000 ,215,000 Retained Earnings Transactions during 2017 and other information related to stockholders equity accounts were as follows 1. On January 10, 2017,sued at $111 per share 18.000 shares ef S:02 par value.10% cumulative preferred stock. 2. On February 8, 2017, reacquired 12.800 shares of its comman stock for $15 per share 3. On May 9. 2017. declared the yearly cash dividend on preferred stock, payable June 10. 2017, to stockholders of record on May 31. 2017 4 On June 0. 2017, declared a cash dwidend of $1.40 per share on the common stock outstanding. peyeble on Zuly 10. 2017, to stockholders of record on uly 1 2017, 5 iet income for the year was $3.591.000 Prepare the stockholders quty section of Cullumber balance sheet at Dacember 3: 2017 Partial Balance Shee Capital Capital in E ocal Paid-in Capital and Retained Earning reasury Stock )24) 3:36 PM 3/10/2018Explanation / Answer
PARTLY BALANCE SHEET December 31 , 2017 Stockholder's Equity Paid in Capital Capital Stock Preferred Stock (118,000 Shares X $ 102 per sahres) $ 1,20,36,000 Common Stock (1,345,000 Shares of $ 6 Each) $ 80,70,000 Total Capital Stock $ 2,01,06,000 Additional Paid in capital Paid in Capital in Excess of Par Value - Preferred Stock $ 10,62,000 (118,000 Shares X $9 per sahres) Paid in Capital in Excess of Par Value - Common Stock $ 18,00,000 Total Additional Paid in capital $ 28,62,000 Total Paid in Capital $ 2,29,68,000 Retained Earnings $ 17,19,400 Total of Paid in capital and retaonedwearning $ 2,46,87,400 Less: Treasurry Stock (12,800 Shares X $ 15 per shares) $ 1,92,000 Total Stockholer's Equity $ 2,44,95,400 CALCULATION OF THE CLOSING RETAINED EARNINGS Opening Retained Earnings= $ 12,15,000 Add: Profit of the year $ 35,91,000 Total $ 48,06,000 Less: Dividend Declared and paid Preference Dividend (10% of $ 12,036,000) $ 12,03,600 Common shares Dividend (1,345,000 Sares X $ 1.40) $ 18,83,000 Closing Balance $ 17,19,400