Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on december 31, 2016, cullumber company had 1,275,

On December 31, 2016, Cullumber Company had 1,275,000 shares of $5 par common stock issued...

60.1K

Verified Solution

Question

Accounting

On December 31, 2016, Cullumber Company had 1,275,000 shares of $5 par common stock issued and outstanding. At December 31, 2016, stockholders equity had the amounts listed here.

Common Stock $6,375,000
Additional Paid-in Capital 1,725,000
Retained Earnings 1,130,000

Transactions during 2017 and other information related to stockholders equity accounts were as follows.

1. On January 10, 2017, issued at $114 per share 128,000 shares of $102 par value, 8% cumulative preferred stock.
2. On February 8, 2017, reacquired 13,700 shares of its common stock for $14 per share.
3. On May 9, 2017, declared the yearly cash dividend on preferred stock, payable June 10, 2017, to stockholders of record on May 31, 2017.
4. On June 8, 2017, declared a cash dividend of $1.25 per share on the common stock outstanding, payable on July 10, 2017, to stockholders of record on July 1, 2017.
5. Net income for the year was $3,683,000.

Prepare the stockholders equity section of Cullumber balance sheet at December 31, 2017.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students