Steven's Restorations was organized in January 2019. During 2019, Steven's engaged in the following stockholders' equity activities:

Question:

a. Secured approval for a corporate charter that authorizes Steven's to sell 1,000,000, $10 par common shares and 75,000, $100 par preferred shares.

b. Sold 480,000 of the common shares for $15 per share.

c. Sold 25,000 of the preferred shares for $105 per share.

d. Repurchased 2,000 shares of the common stock at a cost of $18 per share.

e. Earned net income of $107,000.

f. Paid dividends of $13,000.

Required:

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

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... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...