For Feet's Sake has two classes of stock authorized: 8%, $10 par preferred, and $1...
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For Feet's Sake has two classes of stock authorized: 8%, $10 par preferred, and $1 par value common. The following transactions affect stockholders' equity during 2024, its first year of operations:
January 2 Issues 100,000 shares of common stock for $17 per share. February 6 Issues 1,200 shares of 8% preferred stock for $12 per share. September 10 Purchases 10,000 shares of its own common stock for $22 per share. December 15 Resells 5,000 shares of treasury stock at $27 per share.
In its first year of operations, For Feet's Sake has net income of $142,000 and pays dividends at the end of the year of $95,000 ($1 per share) on all common shares outstanding and $960 on all preferred shares outstanding.
Required:
Prepare the stockholders' equity section of the balance sheet for For Feet's Sake as of December 31, 2024.
For Feet's Sake has two classes of stock authorized: 8%, $10 par preferred, and $1 par value common. The following transactions affect stockholders' equity during 2024, its first year of operations:
| January 2 | Issues 100,000 shares of common stock for $17 per share. | |
|---|---|---|
| February 6 | Issues 1,200 shares of 8% preferred stock for $12 per share. | |
| September 10 | Purchases 10,000 shares of its own common stock for $22 per share. | |
| December 15 | Resells 5,000 shares of treasury stock at $27 per share. | |
In its first year of operations, For Feet's Sake has net income of $142,000 and pays dividends at the end of the year of $95,000 ($1 per share) on all common shares outstanding and $960 on all preferred shares outstanding.
Required:
Prepare the stockholders' equity section of the balance sheet for For Feet's Sake as of December 31, 2024.
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