Homework Help is Here – Start Your Trial Now!
Business
Accounting
P13.3A LO 1, 2, 3) Financial Statement The stockholders' equity accounts of Castle Corporation on January 1, 2020, were as follows Journalize and post transactions, and prepare stockholders' equity section GLS Preferred Stock (8%, $50 par, 10,000 shares authorized) Common Stock ($1 stated value, 2,000,000 shares authorized) 1,000,000 Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Stated Value Common Stock1,450,000 Retained Earnings Treasury Stock (10,000 common shares) $400,000 100,000 1,816,000 50,000 During 2020, the corporation had the following transactions and events pertaining to its stockholders' equity Feb.1 Issued 25,000 shares of common stock for $120,000 Apr. 14 Sold 6,000 shares of treasury stock-common for $33,000 Sept. 3 lssued 5,000 shares of common stock for a patent valued at $35,000 Nov. 10 Purchased 1,000 shares of common stock for the treasury at a cost of $6,000 Dec. 31 Determined that net income for the year was $452,000 No dividends were declared during the year. Instructions a. Journalize the transactions and the closing entry for net income b. Enter the beginning balances in the accounts, and post the journal entries to the stockholders' equity accounts. (Use J5 for the posting reference.) c. Prepare a stockholders' equity section at December 31, 2017 Total stockholders' equity $5,350,000

P13.3A LO 1, 2, 3) Financial Statement The stockholders' equity accounts of Castle Corporation on January 1, 2020, were as follows Journalize and post transactions, and prepare stockholders' equity section GLS Preferred Stock (8%, $50 par, 10,000 shares authorized) Common Stock ($1 stated value, 2,000,000 shares authorized) 1,000,000 Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Stated Value Common Stock1,450,000 Retained Earnings Treasury Stock (10,000 common shares) $400,000 100,000 1,816,000 50,000 During 2020, the corporation had the following transactions and events pertaining to its stockholders' equity Feb.1 Issued 25,000 shares of common stock for $120,000 Apr. 14 Sold 6,000 shares of treasury stock-common for $33,000 Sept. 3 lssued 5,000 shares of common stock for a patent valued at $35,000 Nov. 10 Purchased 1,000 shares of common stock for the treasury at a cost of $6,000 Dec. 31 Determined that net income for the year was $452,000 No dividends were declared during the year. Instructions a. Journalize the transactions and the closing entry for net income b. Enter the beginning balances in the accounts, and post the journal entries to the stockholders' equity accounts. (Use J5 for the posting reference.) c. Prepare a stockholders' equity section at December 31, 2017 Total stockholders' equity $5,350,000

Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter10: Stockholder's Equity
Section: Chapter Questions
Problem 57E: Outstanding Stock Lars Corporation shows the following information in the stockholders equity...
See similar textbooks
icon
Related questions
Question
P13.3A LO 1, 2, 3) Financial Statement The stockholders' equity accounts of Castle Corporation on January 1, 2020, were as follows Journalize and post transactions, and prepare stockholders' equity section GLS Preferred Stock (8%, $50 par, 10,000 shares authorized) Common Stock ($1 stated value, 2,000,000 shares authorized) 1,000,000 Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Stated Value Common Stock1,450,000 Retained Earnings Treasury Stock (10,000 common shares) $400,000 100,000 1,816,000 50,000 During 2020, the corporation had the following transactions and events pertaining to its stockholders' equity Feb.1 Issued 25,000 shares of common stock for $120,000 Apr. 14 Sold 6,000 shares of treasury stock-common for $33,000 Sept. 3 lssued 5,000 shares of common stock for a patent valued at $35,000 Nov. 10 Purchased 1,000 shares of common stock for the treasury at a cost of $6,000 Dec. 31 Determined that net income for the year was $452,000 No dividends were declared during the year. Instructions a. Journalize the transactions and the closing entry for net income b. Enter the beginning balances in the accounts, and post the journal entries to the stockholders' equity accounts. (Use J5 for the posting reference.) c. Prepare a stockholders' equity section at December 31, 2017 Total stockholders' equity $5,350,000
Transcribed Image Text:P13.3A LO 1, 2, 3) Financial Statement The stockholders' equity accounts of Castle Corporation on January 1, 2020, were as follows Journalize and post transactions, and prepare stockholders' equity section GLS Preferred Stock (8%, $50 par, 10,000 shares authorized) Common Stock ($1 stated value, 2,000,000 shares authorized) 1,000,000 Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Stated Value Common Stock1,450,000 Retained Earnings Treasury Stock (10,000 common shares) $400,000 100,000 1,816,000 50,000 During 2020, the corporation had the following transactions and events pertaining to its stockholders' equity Feb.1 Issued 25,000 shares of common stock for $120,000 Apr. 14 Sold 6,000 shares of treasury stock-common for $33,000 Sept. 3 lssued 5,000 shares of common stock for a patent valued at $35,000 Nov. 10 Purchased 1,000 shares of common stock for the treasury at a cost of $6,000 Dec. 31 Determined that net income for the year was $452,000 No dividends were declared during the year. Instructions a. Journalize the transactions and the closing entry for net income b. Enter the beginning balances in the accounts, and post the journal entries to the stockholders' equity accounts. (Use J5 for the posting reference.) c. Prepare a stockholders' equity section at December 31, 2017 Total stockholders' equity $5,350,000
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
Financial Accounting: The Impact on Decision Make…
Financial Accounting: The Impact on Decision Make…
Accounting
ISBN:
9781305654174
Author:
Gary A. Porter, Curtis L. Norton
Publisher:
Cengage Learning
Corporate Financial Accounting
Corporate Financial Accounting
Accounting
ISBN:
9781305653535
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Accounting (Text Only)
Accounting (Text Only)
Accounting
ISBN:
9781285743615
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS