2) Part 2: Rahmig Company was incorporated on March 1, 20X5. The following equity...
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Accounting
2) Part 2: Rahmig Company was incorporated on March 1, 20X5. The following equity related transactions occurred during the remainder of year 20X5. Evaluate these transactions and prepare a statement of shareholders equity for the year ending December 31, 20X5.
Issued 2,000,000 shares of $2.00 par value common stock at $8.00 per share.
Declared and issued a 20% stock dividend (400,000 shares) at a time when the market value was $12.00 per share
Reacquired 30,000 treasury shares at $ 9.00 per share.
Declared and paid cash dividends of $ 331,800
Reported net income for the year of $ 6,890,000
Complete the following.
Rahmig Corporation
Statement of Stockholders Equity
For the Year Ended December 31, 20X5
Balance, March 1
Common Stock, $2 par
Paid in Capital in Excess of Par
Retained Earnings
Treasury Stock
Total Stockholders Equity
Issue additional shares
Purchase treasury stock
Net income
Cash dividends
Stock dividend
Balance December 31, 20X5
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