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Prepare a statement of retained earnings for the year ended December 31, 2012. Common stock-$15 par value, 100,000 shares authorized, 55,000 shares issued and outstanding
Prepare a statement of retained earnings for the year ended December 31, 2012.
Common stock-$15 par value, 100,000 shares authorized, 55,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings $ 825,000 70,000 400,000 Total stockholders' equity $1,295,000 In year 2012, the following transactions affected its stockholders' equity accounts. Jan. 1 Purchased 4,500 shares of its own stock at $20 cash per share. Jan. 5 Directors declared a $4 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record. Feb.28 Paid the dividend declared on January 5. July 6 Sold 1,688 of its treasury shares at $24 cash per share. Aug.22 Sold 2,812 of its treasury shares at $17 cash per share. Sept. 5 Directors declared a $4 per share cash dividend payable on October 28 to the September 25 stockholders of record. Oct.28 Paid the dividend declared on September 5. Dec. 31 Closed the $428,000 credit balance (from net income) in the Income Summary account to Retained Earnings. 2. Prepare a statement of retained earnings for the year ended December 31, 2012. (Amounts to be deducted should be indicated by a minus sign. Omit the "$" sign in your response.) CONTEXT CORPORATION Statement of Retained Earnings For Year Ended December 31, 2012 Retained earnings, Dec. 31, 2011 (Click to select) $ (Click to select) (Click to select) Retained earnings, Dec. 31, 2012 $Step by Step Solution
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