5. Vega Corporation's December 31, 2018 balance sheet showed the following: 8% preferred stock, $20 par value, cumulative, 10,000 shares authorized: 7,500 shares issued $ 150,000 Common stock, $10 par value, 1,000,000 shares authorized; 975,000 shares issued, 960,000 shares outstanding 9,750,000 Paid-in capital in excess of par-preferred stock 30,000 Paid-in capital in excess of par-common stock 13,500,000 Retained earnings 3,750,000 Treasury stock (15,000 shares) 315,000 Vega declared and paid a $58,000 cash dividend on December 15, 2018. If the company's dividends in arrears prior to that date were $10,000, Vega's common stockholders received a. $48,000. b. $22,000 c. $36,000 d. no dividend. Salon Company originally issued 4,000 shares of $10 par value common stock for $120,000 ($30 per share) Salon subsequently purchases 400 shares of treasury stock for $27 per share and resells the 400 shares of treasury stock fo entry to record the sale of the treasury stock, there will be a a. credit to Common Stock for $10,800. b. credit to Treasury Stock for $4,000. c. debit to Paid-In Capital in Excess of Par of $12,000. d. credit to Paid-in Capital from Treasury Stock for $800. Karl Corporation was organized on January 2, 2018. During 2018, Karl issued 40,000 shares at $24 per share, purchased 6,000 shares of treasury stock at $26 per share, and had net income of $600,000. What is the total amount of stockholders' equity at December 31, 2018? a $1,280,000 b. $1,404,000 c. $1,416,000 d. $1,440,000 Page 21 +