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Identifying and Analyzing Financial Statement Effects of Stock Transactions The stockholders' equity of Gaulin Company at the start of the current year follows: Common stock,

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Identifying and Analyzing Financial Statement Effects of Stock Transactions The stockholders' equity of Gaulin Company at the start of the current year follows: Common stock, 55 par value 350,000 shares authorizedt 180,000 shares sued and outstanding $ 900.000 Pald-in capital in excess of par value 600.000 Retained earnings 346.000 During the current year the following transactions occurred: Jan.5 Issued 10,000 shares of common stock for $11 cash per share. Jan. 18 Purchased 4,000 shares of common stock for the treasury at $15 cash per share. Mar. 12 Sold one fourth of the treasury shares acquired January 18 for $17 cash per share July 17 Sold 500 shares of the remaining treasury stock for 514 cash per share Oct. 1 Issued 5,000 shares of 8%, 521 par value preferred stock for $38 cash per share. This is the first issuance of preferred shares from the 50,000 authorized shares (a) Use the financial statement effects template to indicate the effects of each transaction. Use negative signs with answers, when appropriate Balance Sheet Income Statement Nencash Assets - Liabilities Contributed Capital Earned Capital Net Income Revenue Expenses Transaction Cash Asset Jan Jan 10 Mar. 12 My 13 Oct. (b) Prepare the current year stockholders' equity section of the balance sheet assuming that the company reports net income of $72.500 for the year. Usta negative sigo with your answer for treasury stock Stockholders' Equity Paid in a Preferred stock 521 par value 50.000 shares authorised, 5.000 shares med and outstanding Common stock, Spar value, 350,000 shares authorised 190.000 shares Additional paid in capital Pais-in capital incess of par value-preferred stock Paid in capital in excess of par value common stock Paid in capital from creatury stock Total paid in capital Retained earning Les Treasuryck 12.500 shares) at cost use a negative sign with your answer Tocal Stockholders

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