Required information

Skip to question

$[$The following information applies to the questions displayed below.$]$

Global Marine obtained a charter from the state in January that authorized $1,000,000$ shares of common stock, $$5$ par value. During the first year, the company earned $$420,000$ of net income and declared no dividends; the following selected transactions occurred in the order given:

Issued $120,000$ shares of the common stock at $$57$ cash per share.

Reacquired $27,000$ shares at $$52$ cash per share.

Reissued $11,000$ shares from treasury for $$53$ per share.

Reissued $11,000$ shares from treasury for $$51$ per share.

Required:

$1.$ Indicate the account, amount, and direction of the effect on above transaction. $($Enter any decreases to Assets, Liabilities and Stockholders' Equity with a minus sign.$)$ And Prepare the stockholders$$ equity section of the balance sheet at December $31.($Amounts to be deducted should be indicated by a minus sign.$)$