Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Catena's Marketing Company has the following adjusted trial balance at the end of the current year. Cash dividends of $580 were declared at the end

image text in transcribedimage text in transcribed

Catena's Marketing Company has the following adjusted trial balance at the end of the current year. Cash dividends of $580 were declared at the end of the year, and 520 additional shares of common stock ($0.10 par value per share) were issued at the end of the year for $2,080 in cash (for a total at the end of the year of 840 shares). These effects are included below: Catena's Marketing Company Adjusted Trial Balance End of the Current Year Debit Credit Cash $ 1,690 Accounts receivable 2,260 Interest receivable 300 Prepaid insurance 1,740 Long-term notes receivable 2,840 Equipment 15,700 Accumulated depreciation $ 2,970 Accounts payable 2,270 Dividends payable 580 Accrued expenses payable 3,900 Income taxes payable 2,700 Unearned rent revenue 350 Common Stock (840 shares) 84 Additional paid-in capital 3,606 Retained earnings 4,210 Sales revenue 37,550 Interest revenue 180 Rent revenue 660 Wages expense 19,000 Depreciation expense 1,780 Utilities expense 360 Insurance expense 800 Rent expense 9,800 Income tax expense 2,790 Total $ 59,060 $ 59,060 Prepare a statement of stockholders' equity for the current year. (Reductions in account balances should be indicated with a minus sign.) Prepare a statement of stockholders' equity for the current year. (Reductions in account balances should be indicated with a minus sign.) CATENA'S MARKETING COMPANY Statement of Stockholders' Equity For the current year Common Additional Stock Paid-in Capital Retained Earnings Total Stockholders' Equity Balance, January 1 Share issuance 52 Balance, December 31

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Connect For Financial Accounting Fundamentals

Authors: Author

8th Edition

126411169X, 9781264111695

More Books

Students also viewed these Accounting questions