Answered step by step
Verified Expert Solution
Question
1 Approved Answer
CINRICH Corporation was organized on January 1, 2018. It is authorized to issue 22,000 shares of $3-noncumulative preferred shares and an unlimited number of common
CINRICH Corporation was organized on January 1, 2018. It is authorized to issue 22,000 shares of $3-noncumulative preferred shares and an unlimited number of common shares. The following share transactions were completed during the first year.
Jan. | 1 | Issued 84,000 common shares for cash at $3 per share. | |
Mar. | 1 | Issued 12,500 preferred shares for cash at $57 per share. | |
May | 1 | Issued 116,000 common shares for cash at $5 per share. | |
Sept. | 1 | Issued 4,800 common shares for cash at $6 per share. | |
Nov. | 1 | Issued 3,000 preferred shares for cash at $59 per share. | |
Dec. | 1 | Declared the annual preferred dividend to the preferred shareholders, to shareholders of record on December 15, payable on January 15, 2019. | |
Dec. | 31 | Reported net income of $168,000 for the year. |
Please prepare the shareholders equity section of the statement of financial position at December 31, 2018.
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