# ch11 - SOLUTIONS TO PROBLEMS PROBLEM 11-1C(a Jan 7...

This preview shows pages 1–4. Sign up to view the full content.

SOLUTIONS TO PROBLEMS PROBLEM 11-1C (a) Jan. 7 Cash (90,000 X \$5). ............................. 450,000 Common Stock (90,000 X \$2). .... 180,000 Paid-in Capital in Excess of Stated Value—Common Stock (90,000 X \$3). .................. 270,000 Feb. 12 Cash (7,000 X \$77). ............................. 539,000 Preferred Stock (7,000 X \$75). .... 525,000 Paid-in Capital in Excess of Par Value—Preferred Stock. ... 14,000 (7,000 X \$2) June30 Cash (65,000 X \$6). ............................. 390,000 Common Stock (65,000 X \$2). .... 130,000 Paid-in Capital in Excess of Stated Value—Common Stock (65,000 X \$4). .................. 260,000 Aug. 24 Cash (25,000 X \$6.50). ........................ 162,500 Common Stock (25,000 X \$2). .... 50,000 Paid-in Capital in Excess of Stated Value—Common Stock (25,000 X \$4.50). ............. 112,500 Dec. 1 Cash (2,000 X \$79). ............................. 158,000 Preferred Stock (2,000 X \$75). .... 150,000 Paid-in Capital in Excess of Par Value—Preferred Stock. ... 8,000 (2,000 X \$4) (b) Preferred Stock Paid-in Capital in Excess of Par Value—Preferred Stock 2/12 525,000 2/12 14,000 12/1 150,000 12/1 8,000 12/31 Bal. 675,000 12/31 Bal. 22,000 11-1

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
PROBLEM 11-1C (Continued) Common Stock Paid-in Capital in Excess of Stated Value—Common Stock 1/7 180,000 1/7 270,000 6/30 130,000 6/30 260,000 8/24 50,000 8/24 112,500 12/31 Bal. 360,000 12/31 Bal. 642,500 (c) PICKWICK CORPORATION Partial Balance Sheet December 31, 2007 Stockholders’ equity Paid-in capital Capital stock 8% Preferred stock, \$75 par value, 50,000 shares authorized and 9,000 shares issued. .............................. \$675,000 Common stock, no-par, \$2 stated value, 700,000 shares authorized, 180,000 shares issued. ........................................... 360,000 Total capital stock. .................. \$1,035,000 Additional paid-in capital In excess of par value— preferred stock. ............................ 22,000 In excess of stated value— common stock. ............................. 642,500 Total additional paid-in capital. .................................... 664,500 Total paid-in capital. ................ \$1,699,500 11-2
PROBLEM 11-2C (a) Feb. 1 Cash. .................................................... 126,000 Common Stock (7,000 X \$1). ...... 7,000 Paid-in Capital in Excess of Stated Value—Common Stock. ......................................... 119,000 Jul. 12 Treasury Stock—Common (2,000 X \$17) 34,000 Cash. ............................................. 34,000 Oct. 1 Retained Earnings (\$175,000 X .06). .... 10,500 Dividends Payable. ...................... 10,500 Nov. 1 Dividends Payable. ............................. 10,500 Cash. ............................................. 10,500 Dec. 1 Retained Earnings. ............................. 486,000 [250,000* + 7,000 – (12,000 + 2,000)] X \$2 Dividends Payable. ...................... 486,000 Dec. 31 Income Summary. ............................... 930,000 Retained Earnings. ...................... 930,000 31 Dividends Payable. ............................. 486,000

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

### Page1 / 13

ch11 - SOLUTIONS TO PROBLEMS PROBLEM 11-1C(a Jan 7...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document
Ask a homework question - tutors are online