The following is a partial list of the accounts and ending account balances taken from the post-closing

Question:

The following is a partial list of the accounts and ending account balances taken from the post-closing trial balance of Clett Corporation on December 31, 2019:
Common Stock Subscribed .......................................................$ 10,000
Premium on Bonds Payable.......................................................... 50,000
Preferred Stock ............................................................................400,000
Trading Investments in Common Stock ....................................110,000
Bonds Payable ................................................................................500,000
Common Stock ..............................................................................150,000
Additional Paid-in Capital on Preferred Stock ...............................76,000
Available-for-Sale Investments in Bonds .........................................90,000
Preferred Stock Subscribed .............................................................100,000
Retained Earnings ..............................................................................610,000
Additional Paid-in Capital on Common Stock ..................................542,000
Unrealized Decrease in Value of Securities Available for Sale ...........6,000
Additional information:
1. The bonds payable mature on December 31, 2029. They carry a 12% interest rate, payable semiannually. The premium is being amortized using the straight-line method.
2. The 7.5% preferred stock is cumulative and convertible into 3 shares of common stock. It has a par value of $100 per share, 20,000 shares are authorized, 4,000 shares are issued and outstanding, and 1,000 shares have been subscribed at $125 per share.
3. The common stock has a par value of $5 per share, 100,000 shares are authorized, 30,000 shares are issued and outstanding, and 2,000 shares have been subscribed at $41 per share.

Required:
Prepare the Contributed Capital section of the December 31, 2019, balance sheet for Clett. Include appropriate parenthetical notes for the common and preferred stock.

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... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...

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