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Need a little extra help figuring this one out. Thank you, Ill make sure to give a thumbs up! Finishing Touches has two classes of

Need a little extra help figuring this one out. Thank you, Ill make sure to give a thumbs up! image text in transcribed
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Finishing Touches has two classes of stock authorized: 8%, $10 par preferred, and $1 par value common. The following transactions affect stockholders' equity during 2018, its first year of operations: January 2 Issues 100,000 shares of common stock for $20 per share. February 6 Issues 1,500 shares of 8% preferred stock for $12 per share, September 10 Purchases 10,000 shares of its own common stock for $25 per share. December 15 Reissues 5,000 shares of treasury stock at $30 per share. In its first year of operations, Finishing Touches hos net income of $145,000 and pays dividends at the end of the year of $95.000 ($1 per share) on all common shares outstanding and $1,200 on all preferred shares outstanding. Required: Prepare the stockholders' equity section of the balance sheet for Finishing Touches as of December 31, 2018. (Amounts to be deducted should be indicated by a minus sign.) deducted should be indicated by a minus sign.) FINISHING TOUCHES Balance Sheet (Stockholders' Equity Section) December 31, 2018 Stockholders' equity: Common stock $ 100,000 15,000 Preferred stock Additional paid-in capital Total paid-in capital 2,033,000 Total stockholders' equity $ 2,033,000

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