Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following is a summary of all relevant transactions of Splish Corporation since it was organized in 2020. In 2020, 15,200 shares were authorized and

image text in transcribed

The following is a summary of all relevant transactions of Splish Corporation since it was organized in 2020. In 2020, 15,200 shares were authorized and 7,600 shares of common stock ($ 50 par value) were issued at a price of $ 57. In 2021, 900 shares were issued as a stock dividend when the stock was selling for $60. 300 shares of common stock were bought in 2022 at a cost of $ 64 per share. These 300 shares are still in the company treasury. In 2021, 10,000 preferred shares were authorized and the company issued 4,900 of them ($ 100 par value) at $ 116. Some of the preferred stock was reacquired by the company and later reissued for $4,630 more than it cost the company. The corporation has earned a total of $ 586,400 in net income after income taxes and paid out a total of $ 291,000 in cash dividends since incorporation Prepare the stockholders' equity section of the balance sheet in proper form for Splish Corporation as of December 31, 2022. Account for treasury stock using the cost method. (Enter account name only. Do not provide descriptive information.) SPLISH CORPORATION Stockholders' Equity December 31, 2022 Capital Stock Preferred Stock $ 1490000 Common Stock 1140000 Total Capital Stock 2630000 Additional Paid-in Capital Paid-in Capital in Excess of Par - Preferred Stock 78400 Paid-in Capital in Excess of Par - Common Stock 62200 Paid-in Capital from Treasury Stock 4,630 145230 Total Paid-in Capital 2775230 Retained Earnings 295400 Total Paid-in Capital and Retained Earnings 3070630 Less Treasury Stock $ Total Stockholders' Equity e Textbook and Media List of Accounts Assistance Used Save for Later Attempts: 2 of 3 used Submit

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Valuation For Accountants A Short Course Based On IFRS

Authors: Stephen Lynn

1st Edition

9811503567, 9789811503566

More Books

Students also viewed these Accounting questions

Question

Can I borrow a similar item instead?

Answered: 1 week ago