Exercise:

The stockholders' equity accounts of Blue Spruce Corp. on January 1, 2017, were as follows.

Preferred Stock (7%, $100par noncumulative,5,000shares authorized)$300,000Common Stock ($4stated value,300,000shares authorized)1,000,000Paid-in Capital in Excess of Par ValuePreferred Stock15,000Paid-in Capital in Excess of Stated ValueCommon Stock480,000Retained Earnings685,500Treasury Stock (5,000common shares)40,000

During 2017, the corporation had the following transactions and events pertaining to its stockholders' equity.

Feb.1 Issued5,000shares of common stock for $30,000. Mar.20 Purchased1,000additional shares of common treasury stock at $7per share. Oct.1 Declared a7% cash dividend on preferred stock, payable November 1. Nov.1 Paid the dividend declared on October 1. Dec.1 Declared a $0.85per share cash dividend to common stockholders of record on December 15, payable December 31, 2017. Dec.31 Paid the dividend declared on December 1.

(a) Can you make a tabular summary that includes the January 1, 2017, balances. Do not include the beginning balance in Retained Earnings in the tabular summary

.(b)Record the 2017 transactions in the tabular summary.

(Round answers to 0 decimal places, e.g. 5,275. If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity, place a negative sign (or parentheses) in front of the amount entered for the particular Asset, Liability or Equity item that was reduced.)

Assets

=Liabilities

+Stockholders' Equity

Paid-in-CapitalRetained EarningsCash=Div. Pay.+Common Stock+PIC in Excess of Stated Value Com.+Pref. Stock+PIC in Excess of Par Value Pref.-Treasury Stock+Revenue

-Expense-Dividend(a)Bal.$

$

$

$

$

$

$

$

$

$

(b)Feb. 1

Mar. 20

Oct. 1

Nov. 1

Dec. 1

Dec. 31

Can you make the stockholders' equity section of the balance sheet at December 31, 2017. Include 2017 net income of $313,000 as an increase to the January 1, 2017, Retained Earnings.

BLUE SPRUCE CORP.

Partial Balance Sheet

For the Year Ended December 31, 2017

For the Month Ended December 31, 2017

December 31, 2017

Current Assets

Current Liabilities

Intangible Assets

Long-term Investments

Long-term Liabilities

Property, Plant and Equipment

Stockholders' Equity

Total Assets

Total Current Assets

Total Current Liabilities

Total Intangible Assets

Total Liabilities

Total Liabilities and Stockholders' Equity

Total Long-term Investments

Total Long-term Liabilities

Total Property, Plant and Equipment

Additional Paid-in Capital

Paid-in Capital

Capital Stock

Total Capital Stock

Total Paid-in Capital

Total Paid-in Capital and Retained Earnings

Total Stockholders' Equity

Total Additional Paid-in Capital

Current Assets

Current Liabilities

Intangible Assets

Long-term Investments

Long-term Liabilities

Property, Plant and Equipment

Stockholders' Equity

Total Assets

Total Current Assets

Total Current Liabilities

Total Intangible Assets

Total Liabilities

Total Liabilities and Stockholders' Equity

Total Long-term Investments

Total Long-term Liabilities

Total Property, Plant and Equipment

Additional Paid-in Capital

Paid-in Capital

Capital Stock

Total Capital Stock

Total Paid-in Capital

Total Paid-in Capital and Retained Earnings

Total Stockholders' Equity

Total Additional Paid-in Capital

Current Assets

Current Liabilities

Intangible Assets

Long-term Investments

Long-term Liabilities

Property, Plant and Equipment

Stockholders' Equity

Total Assets

Total Current Assets

Total Current Liabilities

Total Intangible Assets

Total Liabilities

Total Liabilities and Stockholders' Equity

Total Long-term Investments

Total Long-term Liabilities

Total Property, Plant and Equipment

Additional Paid-in Capital

Paid-in Capital

Capital Stock

Total Capital Stock

Total Paid-in Capital

Total Paid-in Capital and Retained Earnings

Total Stockholders' Equity

Total Additional Paid-in Capital

$

Current Assets

Current Liabilities

Intangible Assets

Long-term Investments

Long-term Liabilities

Property, Plant and Equipment

Stockholders' Equity

Total Assets

Total Current Assets

Total Current Liabilities

Total Intangible Assets

Total Liabilities

Total Liabilities and Stockholders' Equity

Total Long-term Investments

Total Long-term Liabilities

Total Property, Plant and Equipment

Additional Paid-in Capital

Paid-in Capital

Capital Stock

Total Capital Stock

Total Paid-in Capital

Total Paid-in Capital and Retained Earnings

Total Stockholders' Equity

Total Additional Paid-in Capital

$

Current Assets

Current Liabilities

Intangible Assets

Long-term Investments

Long-term Liabilities

Property, Plant and Equipment

Stockholders' Equity

Total Assets

Total Current Assets

Total Current Liabilities

Total Intangible Assets

Total Liabilities

Total Liabilities and Stockholders' Equity

Total Long-term Investments

Total Long-term Liabilities

Total Property, Plant and Equipment

Additional Paid-in Capital

Paid-in Capital

Capital Stock

Total Capital Stock

Total Paid-in Capital

Total Paid-in Capital and Retained Earnings

Total Stockholders' Equity

Total Additional Paid-in Capital

Current Assets

Current Liabilities

Intangible Assets

Long-term Investments

Long-term Liabilities

Property, Plant and Equipment

Stockholders' Equity

Total Assets

Total Current Assets

Total Current Liabilities

Total Intangible Assets

Total Liabilities

Total Liabilities and Stockholders' Equity

Total Long-term Investments

Total Long-term Liabilities

Total Property, Plant and Equipment

Additional Paid-in Capital

Paid-in Capital

Capital Stock

Total Capital Stock

Total Paid-in Capital

Total Paid-in Capital and Retained Earnings

Total Stockholders' Equity

Total Additional Paid-in Capital

Current Assets

Current Liabilities

Intangible Assets

Long-term Investments

Long-term Liabilities

Property, Plant and Equipment

Stockholders' Equity

Total Assets

Total Current Assets

Total Current Liabilities

Total Intangible Assets

Total Liabilities

Total Liabilities and Stockholders' Equity

Total Long-term Investments

Total Long-term Liabilities

Total Property, Plant and Equipment

Additional Paid-in Capital

Paid-in Capital

Capital Stock

Total Capital Stock

Total Paid-in Capital

Total Paid-in Capital and Retained Earnings

Total Stockholders' Equity

Total Additional Paid-in Capital

Current Assets

Current Liabilities

Intangible Assets

Long-term Investments

Long-term Liabilities

Property, Plant and Equipment

Stockholders' Equity

Total Assets

Total Current Assets

Total Current Liabilities

Total Intangible Assets

Total Liabilities

Total Liabilities and Stockholders' Equity

Total Long-term Investments

Total Long-term Liabilities

Total Property, Plant and Equipment

Additional Paid-in Capital

Paid-in Capital

Capital Stock

Total Capital Stock

Total Paid-in Capital

Total Paid-in Capital and Retained Earnings

Total Stockholders' Equity

Total Additional Paid-in Capital

Add

Less

:

Current Assets

Current Liabilities

Intangible Assets

Long-term Investments

Long-term Liabilities

Property, Plant and Equipment

Stockholders' Equity

Total Assets

Total Current Assets

Total Current Liabilities

Total Intangible Assets

Total Liabilities

Total Liabilities and Stockholders' Equity

Total Long-term Investments

Total Long-term Liabilities

Total Property, Plant and Equipment

Additional Paid-in Capital

Paid-in Capital

Capital Stock

Total Capital Stock

Total Paid-in Capital

Total Paid-in Capital and Retained Earnings

Total Stockholders' Equity

Total Additional Paid-in Capital

$

SHOW LIST OF ACCOUNTS

LINK TO TEXT

LINK TO TEXT

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Can you calculate the payout ratio, earnings per share, and return on common stockholders' equity. (Note: Use the common shares outstanding on January 1 and December 31 to determine the average shares outstanding.)(Round earning per share to 2 decimal places, e.g. $2.66 and all other answers to 1 decimal place. 17.5%.)

Payout ratio

%Earnings per share$

Return on common stockholders' equity

%