Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Bramble Corporation is authorized to issue 20,500 shares of S50 par value, 20% preferred stock and 120,000 shares of $5 par value common stock. On
Bramble Corporation is authorized to issue 20,500 shares of S50 par value, 20% preferred stock and 120,000 shares of $5 par value common stock. On January 1, 2020, the ledger contained the following stockholders' equity balances Preferred Stock (11,500 shares) Paid-in Capital in Excess of Par-Preferred Stock Common Stock (64,000 shares) Paid-in Capital in Excess of Par-Common Stock Retained Earnings $575.000 69,000 320,000 650,000 280,000 During 2020, the following transactions occurred. Feb. 1 Issued 1,800 shares of preferred stock for land having a fair value of $123,000. Mar. 1 Issued 1,500 shares of preferred stock for cash at $70 per share. July 1 Issued 16,500 shares of common stock for cash at $8 per share. Sept. 1 Issued 550 shares of preferred stock for a patent. The asking price of the patent was $31,500. Market price for the preferred stock was $71 and the fair value for the patent was indeterminable. Dec. 1 Issued 7,750 shares of common stock for cash at $8.50 per share. Dec 31 Net income for the year was $260,000. No dividends were declared. Prepare a stockholders' equity section at December 31, 2020. (Enter the account name only and do not provide the descriptive information provided in the question.) BRAMBLE CORPORATION Balance Sheet (Partial) December 31, 2020 Paid-in Capital Capital Stock Preferred Stock $ Common Stock Total Capital Stock Additional Paid-in Capital Paid-in Capital in Excess of Par-Preferred Stock $ Paid-in Capital in Excess of Stated Value-Common St Total Additional Paid-in Capital CHCICECUTORUL Common Stock Total Capital Stock Additional Paid-in Capital Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Stated Value-Common St Total Additional Paid-in Capital
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started