STATMENT CHOICES perfered shares

issued for cash

common shares

issued for organizations the corporation

issued patent

net income

retained earnings

total share capital SSTATMENT CHOICES

300 shares iisued

5000 shares issued

contributed surplus

totoal sharholder equity

reatained earnings

common shares, 10000 shares authorized

contributed surplus

Norldwide Publishing Inc. was recently organized. The company issued common shares to a lawyer who provided legal services of $20,000 to help organize the corporation. Norldwide also issued common shares to an inventor in exchange for his patent with a fair value of $105,000. In addition, Worldwide received cash both for the issuance of 5,500 of its preferred shares at $115 per share and for the issuance of 22,000 common shares at $24 per share. During the first year of operations, Worldwide earned net ncome of $95,000 and declared a cash dividend of $60,000. Without making journal entries, determine the total share capital created by these transactions. Required Prepare the shareholders' equity section of Army Navy Sporting Goods balance sheet for the transactions given in this exercise. Retained Earnings has a balance of $49,000. Journal entries are not required. Prepare the shareholders' equity section of Army Navy Sporting Goods balance sheet