80.2K

Verified Solution

Link Copied!

net income is $800,000

TB EX Qu. 10-176 Court Casuals has the following beginning... Court Casuals has the following beginning balances in its stockholders' equity accounts on January 1, 2021: Common Stock, $100,000 : Additional Paid-in Capital, $4,000,000; and Retained Earnings, $4,000,000. Net income for the year ended December 31, 2021, is $800,000. Court Casuals has the following transactions affecting stockholders' equity in 2021: May 18 Is sues 22,000 additional shares of $1 par value common stock for $50 per share. May 31 Purchases 4,000 shares of treasury stock for $35 per share. July 1 Declares a cash dividend of $2 per share to all stockholders of record on July 15. Hint: Dividends are not. paid on treasury stock. Juty 31 Pays the cash dividend declared on Juty 1. August 10 Reselts 1,750 shares of treasury stock purchased on May 31 for $57 per share. Taking into consideration all the entries described above, prepare the statement of stockholders' equity for the year ended December 31,2021 , using the format provided. (Amounts to be deducted should be indicated with a minus sign.) TB EX Qu. 10-176 Court Casuals has the following beginning... Court Casuals has the following beginning balances in its stockholders' equity accounts on January 1, 2021: Common Stock, 5100,000 : Additional Paid-in Capital, \$4,000,000; and Retained Earnings, $4,000,000. Net income for the year ended December 31, 2021, is $800,000. Court Casuals has the following transactions affecting stockholders' equity in 2021 : May 18 Issues 22,000 additional shares of $1 par value common stock for $50 per share. May 31 Purchases 4,000 shares of treasury stock for $35 per share. Juty 1 Dectares a cash dividend of $2 per share to all stockholders of record on July 15 . Hint: Dividends are not paid on treasury stock. Juty 31 pays the cash dividend declared on Juty 1. August 10 Reselts 1,750 shares of treasury stock purchased on May 31 for 557 per share. Taking into consideration all the entries described above, prepare the statement of stockholders' equity for the year ended December 31,2021 , using the format provided. (Amounts to be deducted should be indicated with a minus sign.)

Answer & Explanation Solved by verified expert

See Answer