Question
Catena's Marketing Company has the following adjusted trial balance at the end of the current year. Cash dividends of $610 were declared at the end
Catena's Marketing Company has the following adjusted trial balance at the end of the current year. Cash dividends of $610 were declared at the end of the year, and 600 additional shares of common stock ($0.10 par value per share) were issued at the end of the year for $2,400 in cash (for a total at the end of the year of 850 shares). Beginning balances for stockholders' equity accounts are: Common stock, $25; Additional paid-in capital, $1,185; and Retained earnings, $5,050. These effects are included below:
Catenas Marketing Company | ||
Adjusted Trial Balance | ||
End of the Current Year | ||
Debit | Credit | |
---|---|---|
Cash | $1,650 | |
Accounts receivable | 2,240 | |
Interest receivable | 170 | |
Prepaid insurance | 1,780 | |
Long-term notes receivable | 2,860 | |
Equipment | 16,000 | |
Accumulated depreciation | $2,900 | |
Accounts payable | 2,300 | |
Dividends payable | 610 | |
Accrued expenses payable | 3,830 | |
Income taxes payable | 1,403 | |
Unearned rent revenue | 330 | |
Common Stock (850 shares) | 85 | |
Additional paid-in capital | 3,525 | |
Retained earnings | 4,440 | |
Sales revenue | 36,750 | |
Rent revenue | 640 | |
Interest revenue | 120 | |
Wages expense | 18,400 | |
Depreciation expense | 1,760 | |
Utilities expense | 410 | |
Insurance expense | 760 | |
Rent expense | 9,500 | |
Income tax expense | 1,403 | |
Total | $56,933 | $56,933 |
Prepare a statement of stockholders' equity for the current year.
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