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Peck Corporation is authorized to issue 20,000 shares of TK.50 par value,10% preferred stock and 125,000 shares of TK.5 par value common stock. On January 1,2014 ,the ledger contained the following stockholders equity balances Preferred stock(10,000 shares) TK.500,000 75,000 350,000 700,000 Paid in capital in excess of par-Preferred stock Common stock(70,000 shares) Paid in capital in excess of par-Common stock Retained earnings During 2014 ,the following transactions occurred Feb 1 Issued 2,000 shares of preferred stock for land having a fair value of TK. 120,000 300,000 Issued 1,000 shares of preferred stock for cash at TK.65 per share. Mar 1 July 1 Issued 16,000 shares of common stock for cash at TK.7 per share. Sept. 1 Issued 400 shares of preferred stock for a patent.The asking price of the patent was TK.30,000.Market price for the preferred stock was TK. 70 and the fair value for the patent was Indeterminable. Dec. 1 Issued 8,000 shares of common stock for cash at TK.7.50 per share. Dec 31 Net income for the year was TK. 260,000.No dividends were declared. c) Prepare a stockholder equity section at December 31,2014.

Peck Corporation is authorized to issue 20,000 shares of TK.50 par value,10% preferred stock and 125,000 shares of TK.5 par value common stock. On January 1,2014 ,the ledger contained the following stockholders equity balances Preferred stock(10,000 shares) TK.500,000 75,000 350,000 700,000 Paid in capital in excess of par-Preferred stock Common stock(70,000 shares) Paid in capital in excess of par-Common stock Retained earnings During 2014 ,the following transactions occurred Feb 1 Issued 2,000 shares of preferred stock for land having a fair value of TK. 120,000 300,000 Issued 1,000 shares of preferred stock for cash at TK.65 per share. Mar 1 July 1 Issued 16,000 shares of common stock for cash at TK.7 per share. Sept. 1 Issued 400 shares of preferred stock for a patent.The asking price of the patent was TK.30,000.Market price for the preferred stock was TK. 70 and the fair value for the patent was Indeterminable. Dec. 1 Issued 8,000 shares of common stock for cash at TK.7.50 per share. Dec 31 Net income for the year was TK. 260,000.No dividends were declared. c) Prepare a stockholder equity section at December 31,2014.

College Accounting, Chapters 1-27
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter20: Corporations: Organization And Capital Stock
Section: Chapter Questions
Problem 1MP: Stockholders equity accounts and other related accounts of Gonzales Company as of January 1, 20--,...
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c) Prepare a stockholder equity section at December 31,2014.

Peck Corporation is authorized to issue 20,000 shares of TK.50 par value,10% preferred stock and 125,000 shares of TK.5 par value common stock. On January 1,2014 ,the ledger contained the following stockholders equity balances Preferred stock(10,000 shares) Paid in capital in excess of par-Preferred stock Common stock(70,000 shares) Paid in capital in excess of par-Common stock Retained earnings During 2014 ,the following transactions occurred Feb 1 Issued 2,000 shares of preferred stock for land having a fair value of TK. 120,000 Mar 1 TK.500,000 75,000 350,000 700,000 300,000 Issued 1,000 shares of preferred stock for cash at TK.65 per share. July 1 Issued 16,000 shares of common stock for cash at TK.7 per share. Sept. 1 Issued 400 shares of preferred stock for a patent. The asking price of the patent was TK.30,000.Market price for the preferred stock was TK.70 and the fair value for the patent was Indeterminable. Dec. 1 Issued 8,000 shares of common stock for cash at TK.7.50 per share . Dec .31 Net income for the year was TK.260,000.No dividends were declared. c) Prepare a stockholder equity section at December 31,2014.
Transcribed Image Text:Peck Corporation is authorized to issue 20,000 shares of TK.50 par value,10% preferred stock and 125,000 shares of TK.5 par value common stock. On January 1,2014 ,the ledger contained the following stockholders equity balances Preferred stock(10,000 shares) Paid in capital in excess of par-Preferred stock Common stock(70,000 shares) Paid in capital in excess of par-Common stock Retained earnings During 2014 ,the following transactions occurred Feb 1 Issued 2,000 shares of preferred stock for land having a fair value of TK. 120,000 Mar 1 TK.500,000 75,000 350,000 700,000 300,000 Issued 1,000 shares of preferred stock for cash at TK.65 per share. July 1 Issued 16,000 shares of common stock for cash at TK.7 per share. Sept. 1 Issued 400 shares of preferred stock for a patent. The asking price of the patent was TK.30,000.Market price for the preferred stock was TK.70 and the fair value for the patent was Indeterminable. Dec. 1 Issued 8,000 shares of common stock for cash at TK.7.50 per share . Dec .31 Net income for the year was TK.260,000.No dividends were declared. c) Prepare a stockholder equity section at December 31,2014.
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