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A partial listing of accounts and ending balances for Henry Inc, on December 31, 2016, is shown below: Investments in long-term notes receivable $ 40,000

A partial listing of accounts and ending balances for Henry Inc, on December 31, 2016, is shown below:

Investments in long-term notes receivable

$ 40,000

Bonds payable

300,000

Temporary investment in equity securities available for sale

120,000

Premium on bonds payable

26,000

Common stock

180,000

Subscriptions receivable: common stock

120,000

Additional paid-in capital from preferred stock conversion

24,000

Retained earnings

650,000

Preferred stock

300,000

Long-term investment in equity securities available for sale

150,000

Additional paid-in capital on common stock

910,000

Common stock subscribed

20,000

Goodwill

46,000

Donated capital

35,000

Preferred stock subscribed

50,000

Additional paid-in capital on preferred stock

Following is additional information relative to the above accounts:

45,000

    • The preferred stock is 8% cumulative with par value of $50. For the preferred stock, 10,000 shares have been authorized, 6,000 shares are issued and outstanding, and 1,000 shares have been subscribed at a price of $65 per share. Each share of preferred stock is convertible into four shares of common.
  • Bonds payable mature on September 30, 2020. They have a stated interest rate of 10%, payable semiannually. The straight-line method is used to amortize the premium.
  • Common stock has a par value of $4 per share. For the common stock, 60,000 shares have been authorized, 45,000 shares are issued and outstanding, and 5,000 shares have been subscribed at $32 per share.

Required:

Prepare the contributed capital section of the December 31, 2016 balance sheet for Jacob, Inc. Include appropriate parenthetical notes for the common and preferred stock.

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