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Required information Problem 10-5A Understand stockholders' equity and the statement of stockholders' equity (L010-7) [The following information applies to the questions displayed below. Donnie Hilfiger has two classes of stock authorized: $1 par preferred and $0.01 par value common. As of the beginning of 2021, 100 shares of preferred stock and 3,800 shares of common stock have been issued. The following transactions affect stockholders' equity during 2021 March Issue 1,200 shares of common stock for $40 per share. May 15 Purchase see shares of treasury stock for $33 per share. July 10 Resell see shares of treasury stock purchased on May 15 for $38 per share October 15 Issue 300 shares of preferred stock for 543 per share. December 1 Declare a cash dividend on both common and preferred stock of $8.68 per share to all stockholders of record on December 15. (Hint: Dividends are not paid on treasury stock.) December 31 Pay the cash dividends declared on December 1. Donnie Hilfiger has the following beginning balances in its stockholders' equity accounts on January 1, 2021 Preferred Stock $100; Common Stock. $38. Additional Pald-in Capital, $74.000, and Retained Earnings, $29,500. Net Income for the year ended December 31, 2021, is $10,600 Taking into consideration the beginning balances on January 1, 2021 and all the transactions during 2021, respond to the fall for Nannie Hilfer Homework 1 Saved REUUIU 0 Required information DONNIE HILFIGER Balance Sheet (Stockholders' Equity Section) December 31, 2021 Stockholders' equity: Preferred stock $ $ 400 . Total paid-in capital 400 Total stockholders' equity $ 400 NOI omework Saved Help Se Required information DONNIE HILFIGER Statement of Stockholders' Equity For the Year Ended December 31, 2021 Preferred Stock Common Stock Additional Paid-in Capital Retained Earnings Total Treasury Stock Stockholders Equity Balance, January 1 Issue common stock Purchase treasury stock Rosell treasury stock Issue preferred stock Declare cash dividends Net incomo Balance, December 31 $ 0 $ 0 $ OS 0 $ 0 $ 0

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