Identifying and Analyzing Financial Statement Effects of Stock Transactions The stockholders' equity section of XPress Media Company for the current year follows. 8% preferred stock $25 par value. 50.000 shares authorized: 12.600 shares issued and outstanding $315,000 Common stock, $10 par value. 200,000 shares authorized: 75.000 shares issued and outstanding Paid-in capital in excess of par value-preferred stock 127.500 Paid-in capital in excess of par value-common stock 450,000 Retained earnings 555,000 750,000 During the year, the following transactions occurred. Jan. 10 Issued 42,000 shares of common stock for $18 cash per share. Jan. 23 Repurchased 12,000 shares of common stock at $20 cash per share. Mar. 14 Sold one-half of the treasury shares acquired January 23 for $22 cash per share. July. 15 Issued 3,900 shares of preferred stock for $192,000 cash. Nov. 15 Sold 1,500 of the treasury shares acquired January 23 for $26 cash per share. Required a. Use the financial statement effects template to indicate the effects from each of these transactions. Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount. Balance Sheet Liabilities Transaction Noncash Assets Contrib. Capital Revenues Cash Asset Earned Capital Jan. 10 756.000 0 Cash N/A N/A N/A N/A Jan. 23 240.000 x 0 = 0 Treasury Stock e x N/A N/A N/A N/A Mar. 14 132.000 0 = O 0 Cash N/A N/A N/A N/A 420.000 Common Stock 336,000 Additional Paid-in Capit 240.000 x Cash 120.000 Treasury Stock 12.000 Additional Paid-in Capit 97,500 Preferred Stock 95.500 X Additional Paid-in Capit 30.000 x Treasury Stock 9.000 x Treasury Stock July 15 192.000 o 0 Cash N/A N/A N/A N/A Nov. 15 39,000 0 0 = 0 Cash N/A N/A + N/A N/A b. Prepare the stockholders' equity section of the balance sheet assuming the company reports net income of $181,500 for the current year. Note: Do not use a negative sign with any of your answers. XPRESS MEDIA COMPANY Stockholders' Equity Paid-in capital 5 412.500 8% preferred stock. $25 par value 50,000 shares authorized 0 x shares issued and outstanding Common stock 510 par value, 200,000 shares authorized: 0 x shares issued. (4.500 shares in treasury) 1,170,000 $ 0 x Additional paid-in capital Paid-in capital in excess of par value-preferred stock Paid-in capital in excess of par value-common stock Paid-in capital from treasury stock 222.000 786,000 21,000 x OX Total paid-in capital Retained earnings 2.611,500 X 736,500 OX (90.000) X $ 3.258.000 4.500 common shares) at cost Less: Treasury stock (r. Total stockholders' equity Identifying and Analyzing Financial Statement Effects of Stock Transactions The stockholders' equity section of XPress Media Company for the current year follows. 8% preferred stock $25 par value. 50.000 shares authorized: 12.600 shares issued and outstanding $315,000 Common stock, $10 par value. 200,000 shares authorized: 75.000 shares issued and outstanding Paid-in capital in excess of par value-preferred stock 127.500 Paid-in capital in excess of par value-common stock 450,000 Retained earnings 555,000 750,000 During the year, the following transactions occurred. Jan. 10 Issued 42,000 shares of common stock for $18 cash per share. Jan. 23 Repurchased 12,000 shares of common stock at $20 cash per share. Mar. 14 Sold one-half of the treasury shares acquired January 23 for $22 cash per share. July. 15 Issued 3,900 shares of preferred stock for $192,000 cash. Nov. 15 Sold 1,500 of the treasury shares acquired January 23 for $26 cash per share. Required a. Use the financial statement effects template to indicate the effects from each of these transactions. Note: For each account category, indicate the appropriate account name. Enter "N/A" for any account category that is not used for a given transaction. Note: Indicate a decrease in an account category by including a negative sign with the amount. Balance Sheet Liabilities Transaction Noncash Assets Contrib. Capital Revenues Cash Asset Earned Capital Jan. 10 756.000 0 Cash N/A N/A N/A N/A Jan. 23 240.000 x 0 = 0 Treasury Stock e x N/A N/A N/A N/A Mar. 14 132.000 0 = O 0 Cash N/A N/A N/A N/A 420.000 Common Stock 336,000 Additional Paid-in Capit 240.000 x Cash 120.000 Treasury Stock 12.000 Additional Paid-in Capit 97,500 Preferred Stock 95.500 X Additional Paid-in Capit 30.000 x Treasury Stock 9.000 x Treasury Stock July 15 192.000 o 0 Cash N/A N/A N/A N/A Nov. 15 39,000 0 0 = 0 Cash N/A N/A + N/A N/A b. Prepare the stockholders' equity section of the balance sheet assuming the company reports net income of $181,500 for the current year. Note: Do not use a negative sign with any of your answers. XPRESS MEDIA COMPANY Stockholders' Equity Paid-in capital 5 412.500 8% preferred stock. $25 par value 50,000 shares authorized 0 x shares issued and outstanding Common stock 510 par value, 200,000 shares authorized: 0 x shares issued. (4.500 shares in treasury) 1,170,000 $ 0 x Additional paid-in capital Paid-in capital in excess of par value-preferred stock Paid-in capital in excess of par value-common stock Paid-in capital from treasury stock 222.000 786,000 21,000 x OX Total paid-in capital Retained earnings 2.611,500 X 736,500 OX (90.000) X $ 3.258.000 4.500 common shares) at cost Less: Treasury stock (r. Total stockholders' equity