Identifying and Analyzing Financial Statement Effects of Stock-Based Compensation The stockholders equity of Aspen Corporation at December 31, 2019, follows.

7% Preferred stock, $100 par value, 20,000 shares authorized;
4,000 shares issued and outstanding	$400,000
Common stock, $15 par value, 300,000 shares authorized;
30,000 shares issued and outstanding	450,000
Paid-in capital in excess of par valuepreferred stock	36,000
Paid-in capital in excess of par valuecommon stock	360,000
Retained earnings	325,000
Total stockholders equity	$1,571,000

The following transactions, among others, occurred during the following year. Employees exercised 12,000 stock options that were granted in 2015 and had a three-year vesting period. These options had an estimated fair value of $2 at the grant date, and an exercise price of $16. There were no other vested or unvested options after this exercise. Awarded 1,000 shares of stock to new executives, when the stock price was $36. Sold 10,000 shares to employees under the company-wide stock purchase plan. Under the plan, employees purchased the shares at a 10% discount when the stock price was $33 per share. Granted 40,000 new stock options, with a strike price of $34 and an estimated fair value of $6. The options vest over three years. Required Prepare the December 31, 2019, statement of stockholders equity assuming that the company reports 2019 pretax income of $483,000 before the effects of stock-based compensation. Assume the company has a 35% tax rate.

ASPEN CORPORATION
Statement of Stockholders Equity
	Preferred Stock			Common Stock			Retained Earnings
	Shares Issued	par $100	Paid-in Capital in Excess	Shares Issued	Par $15	Paid-in Capital in Excess
Start of year	Answer	Answer	Answer	Answer	Answer	Answer	Answer
Stock options exercised	Answer	Answer	Answer	Answer	Answer	Answer	Answer
Stock award	Answer	Answer	Answer	Answer	Answer	Answer	Answer
Employee stock purchase	Answer	Answer	Answer	Answer	Answer	Answer	Answer
Stock options granted	Answer	Answer	Answer	Answer	Answer	Answer	Answer
Net income	Answer	Answer	Answer	Answer	Answer	Answer	Answer
End of year	Answer	Answer	Answer	Answer	Answer	Answer	Answer