Great Adventures has net income of $36,176 in 2022. Retained earnings at the beginning of 2022 was $33,550. Prepare the stockholders' equity section of the balance sheet for Great Adventures as of December 31, 2022.
Required information Great Adventures Problem AP10-1 [The following information applies to the questions displayed below. ] Tony and Suzie have purchased land for a new camp. Now they need money to build the cabins, dining facility, a ropes course, and an outdoor swimming pool. Tony and Suzie first checked with Summit Bank to see ifthey could borrow an additional $1 million, but unfortunately the bank turned them down as too risky. Undeterred, they promoted their idea to close friends they had made through the outdoor clinics and TEAM events. They decided to go ahead and sell shares of stock in the company to raise the additional funds for the camp. Great Adventures has authorized $1 par value common stock. When the company began on July 1, 2021, Tony and Suzie each purchased 10,000 shares (20,000 shares total) of $1 par value common stock at $1 per share. The following transactions affect stockholders' equity during the remainder of 2022: November 5 Issue an additional 102,000 shares of common stock for $10 per share. Purchase 10,200 shares of its own common stock (i.e., treasury stock) for $16 per share. November24 Resell 4,200 shares of treasury stock at $17 per share. Declare a cash dividend on its common stock of $11,640 ($0.10 per share) to all stockholders of record on December 15. DecemberZU Pay the cash dividend declared on December 1. Pay $805,000 for construction of new cabins and other facilities. The entire expenditure is recorded in the Buildings account. Novemberl December 1 December31 Great Adventures Problem AP10-1 Part 2 2. Great Adventures has net income of $36,176 in 2022. Retained earnings at the beginning of 2022 was $33,550. Prepare the stockholders' equity section of the balance sheet for Great Adventures as of December 31, 2022. (Amounts to be deducted should be indicated with a minus sign.) Stockholders' equity: _ Total paid-in capital . Total stockholders' equity
