Rockaway Water Company reported the following items on its statement of shareholders equity for the year ended

Question:

Rockaway Water Company reported the following items on its statement of shareholders equity for the year ended December 31, 2010:

Requirements
1. Determine the December 31, 2010, balances in Rockaway Waters shareholders equity accounts and total stockholders equity on this date.
2. Rockaway Waters total liabilities on December 31, 2010, are $6,700. What is Rockaway Waters debt ratio on this date?
3. Was there a profit or a loss for the year ended December 31, 2010? How can you tell?
4. At what price per share did Rockaway Water issue common stock during2010?

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...