Stockholder s equity Paid in capital Common stock 5 par 1000000 Additional paid

Stockholder s equity paid in capital common stock 5

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Stockholder’ s equity Paid-in capital Common stock ($5 par) .............. $1,000,000 Additional paid-in capital ........... 80,000 1,080,000 Retained earnings* ............................ 410,000 Total paid-in capital and retained earnings ................... 1,490,000 Less: Treasury stock ........................ 191,000 Total stockholders’ equity ........ 1,299,000 Total liabilities and stockholders’ equity .............. $3,976,000
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*Computation of Retained Earnings: Sales revenue $8,100,000 Investment revenue 63,000 Extraordinary gain 80,000 Cost of goods sold (4,800,000) Selling expenses (2,000,000) Administrative expenses (900,000) Interest expense (211,000 ) Net income $ 332,000 Beginning retained earnings $ 78,000 Net income 332,000 Ending retained earnings $410,000 Or ending retained earnings can be computed as follows: Total stockholders’ equity $1,299,000 Add: Treasury stock 191,000 Less: Paid-in capital in excess of par 1,080,000 Ending retained earnings $ 410,000 Note: There is no dividends account. Thus, the 12/31/14 retained earnings balance already reflects any dividends declared.
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  • Spring '14
  • Balance Sheet, ........., Generally Accepted Accounting Principles, Q7., Accum. depreciation—, Scott Butler Corporation

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