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prepare the December 31,2020 stockholders equity section. assume 2020 net income was $321,000.

A BACK NEXT Exercise 15-18 (Part Level Submission) Flint Company reported the following amounts in the stockholders' equity section of its December 31, 2019, balance sheet. Preferred stock, 10%, $100 par (10,000 shares authorized, 2,100 shares issued) $210,000 Common stock, $5 par (92,500 shares authorized, 18,500 shares issued) 92,500 Additional paid-in capital 132,000 Retained earnings 434,000 Total $868,500 During 2020, Flint took part in the following transactions concerning stockholders' equity. 1. Paid the annual 2019 $10 per share dividend on preferred stock and a $2 per share dividend on common stock. These dividends had been declared on December 31, 2019. 2. Purchased 1,800 shares of its own outstanding common stock for $40 per share. Flint uses the cost method. 3. Reissued 600 treasury shares for land valued at $30,200. 4. Issued 530 shares of preferred stock at $106 per share. 5. Declared a 10% stock dividend on the outstanding common stock when the stock is selling for $47 per share. 6. Issued the stock dividend. 7. Declared the annual 2020 $10 per share dividend on preferred stock and the $2 per share dividend on common stock. These dividends are payable in 2021. FLINT COMPANY Stockholders' Equity December 31, 2020 Capital Stock Preferred Stock 263000 $ Common Stock 83850 Total Capital Stock 346850 Additional Paid-in Capital 3180 Total Paid-in Capital 422690 Retained Earnings 450950 Total Paid-in Capital and Retained Earnings 873640 > Less Treasury Stock 48000 Total Stockholders' Equity 393640

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