Required information [The following information applies to the questions displayed below] Sun Corporation received a charter that authorized the issuance of 82,000 shares of $4 par common stock and 21,000 shares of $125 par. 6 percent cumulative preferred stock. Sun Corporation completed the following transactions during its first two years of operation. Year 1 Jan, 5 Sold 12,300 shares of the $4 par common stock for $6 per share. 12 Sold 2,100 shares of the 6 percent preferred stock for $135 per share. Apr. 5 Sold 16,400 shares of the $4 par common stock for $8 per share, Dec. 31 During the year, earned $318,700 in cash revenue and paid $244,600 for cash operating expenses. Year 2 35 Declared the cash dividend on the outstanding shares of preferred stock for Year 1. The dividend will be paid on February 15 to stockholders of record on January 10, Year 2. Feb. 15 Paid the cash dividend declared on December 31, Year 1.1 Mar. 3 Sold 3,150 shares of the $125 par preferred stock for $145 per share. Mey. 5 Purchased 500 shares of the common stock as treasury stock at $8 per share. Dec. 31 During the year, earned $252,900 in cash revenues and paid $173,000 for cash operating expenses. 31 Declared the annual dividend on the preferred stock and a $0.50 per share dividend on the common stock. Required a. Organize the transaction data in accounts under an accounting equation. (Enter any decreases to account balances with a minus Check m er 11 Homework 7 Event Ne Assets Libe Semi Stockholders Equity Help Save & Exit Subme Check my work Cast Dividends Payable Preferred Stock Common Stock Captain Excess of Par Preferred Block Paid-in Capitali Excess of Par Common Stack Try Stock Act T Earings Year 1 Jan 5 . 73800 Jan 12 + . 21000 . Apr 5 131.200 + . + Dec 31 . Dec31 . . + . . (Dec 31 + that 200,000 0. 01. 21,000+ 0+ Year 2 F Mar May S Dvc 31 Dec 31 Dec 31 + . . . + + . . . + . 205,000 21000 . . 80 Part 2 of 3 Assets SUN CORPORATION Balance Sheet As of December 31, Year 1 60 Total assets Liables Total abbes Stockholders equity Thal paid in capital Total stockholders' equity Total habeoes and stockholders' equity Check my work 8 00 Required information SUR GURURAIN Balance Sheet As of December 31 Year 2 Pe 09 P Assa Total assets Labities Total abes Sinckhundens equity Grew So pied in capta Total stockholders equity Tualatis ant stockholders egy > 31 Savy Check my work NO ences May 5 Purchased 500 shares of the common stock as treasury stock at $8 per share. Dec. 31 During the year, earned $252,900 in cash revenues and paid $173,000 for cash operating expenses. 31 Declared the annual dividend on the preferred stock and a $0.50 per share dividend on the common stock. c-1. What is the number of common shares outstanding at the end of Year 1? At the end of Year 2? How many common shares had been issued at the end of Year 1? At the end of Year 2? (Amounts to be deducted should be indicated with minus sign.) I Schedule of Number of Shares of Common Stock Shares Issued Shares Outstanding Year 11 Totals Year 2 0 Totals 0 0 Haty c-2. Are there any differences between issued and outstanding common shares for Year 1 and Year 2? www. Issued common shares Outstanding common shares aw < Prev Next >