Assignment for Chapter 12_revised_Dr Leung2

Assignment for Chapter 12_revised_Dr Leung2 - for $80 per...

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ACCT 2111 Introductory Financial Accounting Assignment for Chapter 12 On December 31, 2007, Hercules Company had 1,500,000 shares of $50 par common stock issued and outstanding. The stock holders’ equity accounts at December 31, 2007, had the following balances. Common Stock $ 75,000,000 Additional Paid-in Capital 7,500,000 Retained Earnings 4,500,000 Transactions during 2008 and other information related to stockholders’ equity accounts were as follows. 1. On January 10, 2008, Hercules issued at $525 per share 100,000 shares of $500 par value, 7% cumulative preferred stock. 2. On February 8, 2008, Hercules reacquired 15,000 shares of its common stock
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Unformatted text preview: for $80 per share. 3. On June 8, 2008, Hercules declared a cash dividend of $5 per share on the common stock outstanding, payable on July 10, 2008, to stock holders of record on July 1, 2008. 4. On December 15, 2008, Hercules declared the yearly cash dividend on preferred stock, payable January 10, 2009, to stockholders of record on December 15. 2008. 5. Net income for the year is $18,000,000. 6. It was discovered that depreciation expense had been overstated in 2007 by $400,000. Instructions Prepare the stockholders’ equity section of Hercules’ balance sheet at December 31, 2008...
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This note was uploaded on 02/04/2012 for the course ACCT 2111 taught by Professor Eric during the Spring '11 term at CUHK.

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