Using the following accounts and balances, prepare the Stockholders Equity section of the balance sheet. Fifty thousand

Question:

Using the following accounts and balances, prepare the Stockholders’ Equity section of the balance sheet. Fifty thousand shares of common stock are authorized, and 2,500 shares have been reacquired.

Common Stock, $120 par ............$4,800,000

Paid-In Capital in Excess of Par .............600,000

Paid-In Capital from Sale of Treasury Stock ........59,000

Retained Earnings .................7,138,500

Treasury Stock ...................287,500

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...