Question
The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year: Preferred 2% Stock, $150 par (50,000
The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year:
Preferred 2% Stock, $150 par (50,000 shares authorized, 25,000 shares issued) | $3,750,000 |
Paid-In Capital in Excess of ParPreferred Stock | 750,000 |
Common Stock, $15 par (700,000 shares authorized, 170,000 shares issued) | 2,550,000 |
Paid-In Capital in Excess of ParCommon Stock | 330,000 |
Retained Earnings | 15,646,000 |
During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows:
a. Issued 70,000 shares of common stock at $19, receiving cash.
b. Issued 13,000 shares of preferred 2% stock at $169.
c. Purchased 42,000 shares of treasury common for $17 per share.
d. Sold 21,000 shares of treasury common for $20 per share.
e. Sold 14,000 shares of treasury common for $15 per share.
f. Declared cash dividends of $3.00 per share on preferred stock and $0.10 per share on common stock.
g. Paid the cash dividends.
d. Sold 21,000 shares of treasury common for $20 per share.
Cash | |||
Treasury Stock | |||
Paid-In Capital from Sale of Treasury Stock |
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e. Sold 14,000 shares of treasury common for $15 per share.
Cash | ||||||||||||||||||||
Paid-In Capital from Sale of Treasury Stock | ||||||||||||||||||||
Treasury Stock f. Declared cash dividends of $3 per share on preferred stock and $0.1 per share on common stock. Cash Dividends
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