10-10

Required information Problem 10-6A (Algo) Record equity transactions and prepare the stockholders' equity section (LO10-2, 103,104,105,107) [The following information applies to the questions displayed below] Golf Apparel has two classes of stock authorized: 5%,$10 par preferred, and $1 par value common. The following transactions affect stockholders' quity during 2024 , its first year of operations: January 2 Issue 100,000 thares of conmon stoek for $55 per share. February 14 istue 45,000 shares of preferred stock for $11 per share. May. 3 Purchase 10,000 ahares of 1 ta own common stoek for $45 per share. May 31 Resell 5,000 sharea of treasury stoek for $50 per whare. Deceaber 1 Declare a cash dividend on ita connon stock of $0.75 per share and a $22,500 ( 56 of par value) cash dividend an its preferred stoek payable to all btockholdera of record on December 15 . The dividend is payable on Decesber 30 . (Hint; Dividends are not paid on treasury stock.) Decenber 30 Pay the eash dividends deelared on December 1 . Problem 10-6A (Algo) Part 2 2. Prepare the stockholders' equity section of the balance sheet as of December 31,2024 . Net income for the year was $475,000. Amounts to be deducted should be indicated by a minus sign.)