70.2K

Verified Solution

Link Copied!

$$315,000.$ Retained earnings had a balance of $$108,000.$ During $2018,$ the company completed the following selected transactions:

$($Click the icon to view the transactions.$)$

Read the requirements.

$\backslash$table$[[$Date$,$Accounts,Debit,Credit$],[$Sep $28,$Retained earnings,,$],[$Common stock,$118,800,,],[,$Paid$-$in capital in excess of par$-$common,,$14,850],[,,,103,950]]$

equity section of the balance sheet.$)$

$\backslash$table$[[$Stockholders$\text{'}$ Equity$],[$Paid$-$in capital:,$],[$Common stock, $$1$ par,,$850000,$shares outstanding,$],[99000,$shares issued,,,shares outstanding,$],[$Paid$-$in capital in excess of par$-$common,$],[$Paid$-$in capital $-$ treasury stock,$],[$Total paid$-$in capital,$],[$Retained earnings,$],[$Less: Treasury stock,shares at cost$,],[$Total stockholders' equity,$]]$

More info

$8\mathrm{.}76$ of $10$ points

Feb $15$ Purchased $2,000$ shares of treasury stock at $$5$ per share.

Mar $8$ Sold $1,000$ shares of treasury stock for $$8$ per share.

Sep $28$ Declared and distributed a $15\%$ stock dividend on the $99,000$ shares of outstanding common stock. The market value of Playtime's common stock was $$8$ per share.

pital in excess of par$-$common ha

Record the transactions in the journal. Explanations are not required.

Prepare the stockholders' equity section of the balance sheet at December $31,2018,$ assuming the company earned $$72,000$ of net income during the year.

year. $($Enter the accounts in the proper orde

Get more help $-$

$$315,000.$ Retained earnings had a balance of $$108,000.$ During $2018,$ the company completed the following selected transactions:

$($Click the icon to view the transactions.$)$

Read the requirements.

Sep $28$: Declared and distributed a $15\%$ stock dividend on the $99,000$ shares of outstanding common stock. The market value of PI

$\backslash$table$[[$Journal Entry$],[$Date$,$Accounts,Debit,Credit$],[$Sep$,\backslash$table$[[$Retained earnings$],[$Common stock$],[$Paid$-$in capital in excess of par$-$common$]],118,800,\backslash$table$[[\backslash$table$[[14,850],[103,950]]]]]]$

More infoequity section of the balance sheet.$)$Requirements

Record the transactions in the journal. Explanations are not required.

Prepare the stockholders' equity section of the balance sheet at December $31,2018,$ assuming the company earned $$72,000$ of net income during the year.

Answer & Explanation Solved by verified expert

See Answer