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Please see attached document and please show your work for the answers Treasury Stock Transactions On its December 31, 2016 balance sheet, ABC Co. reported
Please see attached document and please show your work for the answers
Treasury Stock Transactions On its December 31, 2016 balance sheet, ABC Co. reported its stockholders equity as follows: Common stock - $5 par value, 100,000 shares authorized, 50,000 shares issues and outstanding Paid in Capital in Excess of Par Value, Common Retained Earnings Total Stockholders' Equity $250,000 125,000 400,000 $775,000 During 2017, the following transactions occurred: Feb 2 Mar 8 Apr 10 Reacquired 2,500 shares at $7 per share. Sold 500 shares at $6 per share. Sold 1,200 shares at $8 per share. Net income for 2017 amounted to $80,000. a. In good form, prepare the journal entries for the three transactions (show your calculations for the numbers arrived at in your journal entries) b. Compute the amount of total contributed capital to be reported on the December 31, 2017 balance sheet. (show your calculation) Stockholders' Equity Section of Balance Sheet Prepare in good form the stockholders' equity section of the balance sheet from the following selected accounts and balances taken from the adjusted trial balance of XYZ Co as of December 31, 2016. Common Stock - $10 par, 100,000 shares authorized, 55,000 shares issued and outstanding Preferred Stock, $100 par value, 9% cumulative, 20,000 shares authorized, 4,000 shares issued and outstanding Paid in Capital in Excess of Par Value, Preferred Paid in Capital in Excess of Par Value, Common Retained Earnings ($10 par x 55,000 shares) = $550,000 ? 15,000 400,000 90,000Step by Step Solution
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