Required Information Problem 8-23 Recording and reporting stock transactions and cash dividends across two accounting cycles LO 8-3, 8-4, 8-5, 8-6 [The following information applies to the questions displayed below.) Sun Corporation recelved a charter that authorized the issuance of 118,000 shares of $5 par common stock and 21,000 shares of $75 par, 5 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation: 2018 Jan. 5 sold 17,700 shares of the $5 par common stock for $7 per share. 12 Sold 2,100 shares of the 5 percent preferred stock for $85 per share. Apr. 5 sold 23,600 shares of the $5 par common stock for $9 per share. Dec.31 During the year, earned $312,300 in cash revenue and paid $235,800 for cash operating expenses. 31 Declared the cash dividend on the outstanding shares of preferred stock for 2018. The dividend will be paid on February 15 to stockholders of record on January 10, 2019. 2019 Feb. 15 Paid the cash dividend declared on December 31, 2018. Mar. 3 Sold 3,150 shares of the $75 par preferred stock for $95 per share. May. 5 Purchased 450 shares of the common stock as treasury stock at $10 per share. Dec. 31 During the year, earned $250,000 in cash revenues and paid $176,500 for cash operating expenses. 31 Declared the annual dividend on the preferred stock and a $0.50 per share dividend on the common stock. Problem 8-23 Part c. Prepare the balance sheets at December 31, 2019. (Negative amount should be indicated by a minus sign.) SUN CORPORATION Balance Sheet As of December 31, 2019 Assets $ 0 Total assets Liabilities S 0 Total liabilities Stockholders' equity Total paid-in capital 0 Total stockholders' equity Total liabilities and stockholders' equity Required Information Problem 8-23 Recording and reporting stock transactions and cash dividends across two accounting cycles LO 8-3, 8-4, 8-5, 8-6 [The following information applies to the questions displayed below.) Sun Corporation recelved a charter that authorized the issuance of 118,000 shares of $5 par common stock and 21,000 shares of $75 par, 5 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation: 2018 Jan. 5 sold 17,700 shares of the $5 par common stock for $7 per share. 12 Sold 2,100 shares of the 5 percent preferred stock for $85 per share. Apr. 5 sold 23,600 shares of the $5 par common stock for $9 per share. Dec.31 During the year, earned $312,300 in cash revenue and paid $235,800 for cash operating expenses. 31 Declared the cash dividend on the outstanding shares of preferred stock for 2018. The dividend will be paid on February 15 to stockholders of record on January 10, 2019. 2019 Feb. 15 Paid the cash dividend declared on December 31, 2018. Mar. 3 Sold 3,150 shares of the $75 par preferred stock for $95 per share. May. 5 Purchased 450 shares of the common stock as treasury stock at $10 per share. Dec. 31 During the year, earned $250,000 in cash revenues and paid $176,500 for cash operating expenses. 31 Declared the annual dividend on the preferred stock and a $0.50 per share dividend on the common stock. Problem 8-23 Part c. Prepare the balance sheets at December 31, 2019. (Negative amount should be indicated by a minus sign.) SUN CORPORATION Balance Sheet As of December 31, 2019 Assets $ 0 Total assets Liabilities S 0 Total liabilities Stockholders' equity Total paid-in capital 0 Total stockholders' equity Total liabilities and stockholders' equity
