At December 31, 2018, Longfellow Clothing had $226,700 of retained earnings, all unrestricted. During 2019, Longfellow earned

Question:

At December 31, 2018, Longfellow Clothing had $226,700 of retained earnings, all unrestricted. During 2019, Longfellow earned net income of $92,000 and declared and paid cash dividends on common stock of $21,800. During 2019, Longfellow sold a bond issue with a covenant that required Longfellow to transfer from retained earnings to restricted retained earnings an amount equal to the principal of the bond issue, $50,000. At December 31, 2019, Longfellow has 30,000 shares of $5 par common stock issued and outstanding. Additional paid-in capital-common stock is $236,500.

Required:

Prepare the stockholders' equity portion of Longfellow's December 31, 2019 balance sheet?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...