The following transactions relate to Sunlight Mountain Inc.Prepare journal entries for each transaction. Prepare the equitysection of the balance sheet at each year-end, December 31. Assume2015 was Sunlight’s first year of operations.
- Sunlight issued 1,000 shares of $1 par value commonstock for $70 per share on January 1, 2015.
DATE | ACCOUNT NAME | DEBIT | CREDIT | BALANCE SHEET | INCOME STMT |
A | = | L | + | E | R | - | E |
1/1/15 | | | | | | | | |
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- Sunlight issued 500 shares of no par value, $5,non-cumulative preferred stock for $50 per share on January 1,2015.
DATE | ACCOUNT NAME | DEBIT | CREDIT | BALANCE SHEET | INCOME STMT |
A | = | L | + | E | R | - | E |
1/1/15 | | | | | | | | |
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- Sunlight reported net income of $2,000 during 2015 andpaid no dividends. Prepare the company’s equity section of theDecember 31, 2015, balance sheet.
Stockholders’ Equity:
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| Total Stockholder's Equity | |
